With the code of ethics due to commence on 1 January 2020, the advice body claims that FASEA has not spoken to one financial planner throughout the entire consultation process, outside the two current industry representatives on its board.
The FPA said it called on FASEA in February 2019 – and repeated this call on numerous occasions – to provide clear guidance that would help financial planners understand and comply with the code of ethics.
Upon release of the code of ethics guidance last week, the FPA said the document released by FASEA raises more questions than it answers.
As a result, the FPA said it now urgently calls on the government to step in, and to recognise that FASEA has again failed to deliver its mandate to consult and deliver.
For example, it noted FASEA’s website still claims that it will release a draft of the guidance document for public consultation before it is finalised, which demonstrates the scope of the education body’s failure to consult.
“With less than 50 business days before the code is due to come into effect, FASEA has completely failed both in their obligation to consult and to provide clear guidance on how its standards will work in practice,” said FPA chief executive Dante De Gori.
“The process has again been greatly disappointing and completely inadequate, which has produced guidance that is confusing, out of touch and at odds with existing financial planning laws and standards.
“After two and a half years, the FASEA board of directors has yet to consult with any financial planning professional bodies or their members and they appear to be more interested in academic theory than making a genuine effort to improve standards in the financial planning profession for the benefit of consumers.”
Among other problems, the FPA said FASEA’s code clashes with the government’s Royal Commission Road Map, released two months ago, and the grandfathered commissions legislation passed by the Parliament earlier this month.
“Financial planners and even the public are confused about which standards should be followed – those in the Code of Ethics set by FASEA or those in corporations law set by the Australian Parliament,” Mr De Gori said.
The reason I am no longer a member is that you did not “lash out” in the past when we needed you to do so such as towards the FSC over LIF…
I told you so in 2017 before the Royal Commission and just before FASEA set education standards.
https://www.ifa.com.au/news/18652-fpa-defends-professional-partner-program
So just how is that relationship working out for you guys? No changes necessary, same CEO. same same, same outcome.
Dante appeared at the Royal Commission and the industry was found not capable of being a code monitoring body. We don’t consult with convicted criminals when determining sentencing. So just why should FASEA consult with bodies like the FPA in determining standards. Because of this and the FPA’s relationship with those firms called before a Royal Commission, no doubt in a couple of years we’ll have Bill Shorten and MTAA ex’s, sitting on a Code Monitoring body determining the quality of advice. This is what needs to be done or should have been done. Dante should have 1) immediately stepped aside after the Royal Commission, and 2) terminated the professional partner program and the relationship with product providers and then 3) we as an industry step up afresh to bodies like Treasury and FASEA and stated we’ve changed and we’re self regulating give us a chance. Whilst ever Dante is in place and we have that old fashioned thinking…. over regulation will continue.
[quote=Anonymous]How many times do you need to hear “its time to go”!![/quote][quote=Anonymous]How many times do you need to hear “its time to go”!![/quote]
where is he going to get a job paying $300k + pa. what are his skills ? lobbying ?
most cfo’s of asx 200 are on $250k to $350k compare that with Danfe and the fpa, they aren’t good at anything and with total revenue in FY18 of $13.8m
How many times do you need to hear “its time to go”!!
No Association wrong buddy just one subject that we all have to do,, next jibe
[quote=Anonymous]Is it a coincidence that the code monitoring opportunity disappears and now the big boys pants get put on?[/quote]
You obviously haven’t done the Kaplan ethics course to learn how to reference. Shame on you.
[quote=Steven ]Pot,Kettle,Black.
OMG FPA!!!!!!!
You useless FPA execs both present and past should be hanging your heads in shame. The only people who need to take a good long look at themselves harder than your pathetic body are YOUR EXISTING MEMBERS.
You are a disgrace FPA. AFA you are not much better. Go away both of you.[/quote][quote=Steven ]Pot,Kettle,Black.
i have been saying the same thing for months and months. for god sake, have a little self respect and resign.
Dave From the Bush….never going to happen until the parasites and leeches are removed from the profession i.e. insto’s, FSC and product manufacturers.
De Gori musn’t have been reading IFA back in 2018: https://www.ifa.com.au/editorial/18807-the-mandatory-education-racket
[quote=Dave from the bush]Harden up or get out Dante. DO WHAT WE PAY THE FPA FOR_ REPRESENT US AND DO IT WITH VIGOR. To date the FPA has been a disgrace and let members down horribly. the extension to timeline-I bet the most communication came from MEMBERS to the pollies, not just the FPA and it looks like we will be doing it again. You are paid to represent US and no one else. It this and other comments hurt you, too bad because you are obviously totally unaware of the damage you are doing, get the job done or stand down because it is beyond your skills. I got my popcorn warming up also.[/quote]
Dave if you don’t like what the FPA is doing with your membership fees then why don’t you quit? I am guessing its because you haven’t put in the study to be able to meet the TASA requirements without hiding behind an association.
I can’t help but be a bit cynical here. Now that the association’s won’t be code monitoring bodies, they are slamming the FASEA code, the same code that has been around for months.
Pot,Kettle,Black.
OMG FPA!!!!!!!
You useless FPA execs both present and past should be hanging your heads in shame. The only people who need to take a good long look at themselves harder than your pathetic body are YOUR EXISTING MEMBERS.
You are a disgrace FPA. AFA you are not much better. Go away both of you.
Is it a coincidence that the code monitoring opportunity disappears and now the big boys pants get put on?
Why has Dante DeGori left this so late?Better than not saying anything of course but what does he expect to change now? What has he and the FPA been doing on all our issue to date? How about a carve out for risk advisers, how about keeping grandfathered commissions to help advisers stay in business and out of respect for the adviser suicide that have already occurred due to the inaction of these so called ‘industry associations’? Yes, some actions like those, that REALLY help advisers, not just fluffing around the ‘ethics’ question. That’s how to help advisers Dante!
FARSEA continues to be a complete FARSE !!!!
1) ALL FARSEA Board members must fully disclose ALL conflicts of Interest.
2) ALL FARSEA Board members must stop any form of conflict of interest or resign immediately.
3) ALL FARSEA Board members must attain FARSEA education standards themselves.
4) ALL Politicians, all ASIC/ATO/ARPA CEO’s and Managers, all Financial Institution CEO’s & Managers, all Super Fund Trustees, CEOs and Managers, all Associations FPA, AFA, SMSFA, CEO’s and Managers, [b]should ALL be made to attain FARSEA education standards and ethics. All these involved have been found to be so lacking in their duties from the Royal Commission – Yet not one single person in these Government or Executive roles has to do any education or Ethics. What a complete and utter FARSE. [/b][b][/b]
FARSEA For ALL !!!!!!!!!!
Come join this complete circus, you don’t know the fun you are missing for the past 2.5 yrs !!!!
Too little too late De Gori…has someone woken you up ”at the wheel”??? What are you now proposing re the unconstitutional removal of grandfathered revenue and decimation of practice values??? When did ”grandfathered” not mean ”grandfathered???
Harden up or get out Dante. DO WHAT WE PAY THE FPA FOR_ REPRESENT US AND DO IT WITH VIGOR. To date the FPA has been a disgrace and let members down horribly. the extension to timeline-I bet the most communication came from MEMBERS to the pollies, not just the FPA and it looks like we will be doing it again. You are paid to represent US and no one else. It this and other comments hurt you, too bad because you are obviously totally unaware of the damage you are doing, get the job done or stand down because it is beyond your skills. I got my popcorn warming up also.
they don’t consult because they are too busy licking their lips thinking about their bonuses they will receive through their conflicted education world!! The industry is stuffed and guess what – average Aussie will not be better off after all of this crap has ended
Just heating up my popcorn for this comments section. Fire away…