FASEA on Friday (10 December) released exam results from the 15th Financial Advisers Exam held in November 2021, revealing that only 52 per cent of all candidates had passed the exam.
Just 63 per cent of candidates sitting the exam for the first time passed the November exam, compared with an average of 75 per cent across all exams.
To date, 3,197 unsuccessful candidates have resat the exam with 66 per cent passing at a resit.
“FASEA congratulates successful candidates on completing an important component of their education requirements under the Corporations Act,” FASEA chief executive Stephen Glenfield said.
Over 17,950 advisers have passed the adviser exams held to date, with the pass rate reported at 91 per cent.
Of those who have passed over 15,500 are recorded as active financial advisers on ASIC FAR, over 1,980 are ceased advisers on the FAR and can be reauthorised, while over 430 are new entrants and can be authorised as a provisional financial adviser.
Candidates who were unsuccessful in this exam will receive additional individual feedback to highlight the curriculum areas where they have underperformed.
According to FASEA, the areas candidates had most trouble with in November, include applying chapter 7 of the Corporations Act to components of SOA/FSG; identifying consequences of not acting in best interests of clients; demonstrating knowledge and understanding of the Code of Ethics; and identifying misconduct and inappropriate advice.
After failing the exam in January and July this year, the stars aligned for me and I was able to Pass the exam in November, it was a huge relief.
I must say that the exam content was more suited to the work I do and clients I see in this exam, so I was able to relate to it a bit better than the first 2 exams because I am a Life insurance adviser and have not done any Super or Financial planning as such for over 10 years after been in the business for 30 years.
For this 3rd exam I also spent a bit more time doing a Kaplan free practice exam as well as the TAL Masterclass, both of these also helped me as well.
All I can say for those still in with a chance next year, give it your best shot !!
Yes, me too mate! 3rd time lucky. Knowledge shop for me, Conrad was brilliant coaching me through
Good riddance there is finally some education standards in the industry to hold people to account. The goal posts got moved on me and I have to complete a Grad Diploma after realising that my Finance Degree was not a “Relevant Degree”. That means EIGHT EXTRA UNITS with a THREE HOUR EXAM for each unit. If you can’t get yourself up to pass one three hour unit – no sympathy from this disgruntled individual. If you’re still failing now – you’ve either left it far too late or should not be in the industry.
I failed my first attempt in May but passed the November. I have over 20 years experience and run my own practice and teach/mentor other Planners. For those who say this is a waste, I half agree, it’s not very much about how you help clients day by day. It’s more about the Legal Framework that wraps around the profession, and just being aware of what good advice is delivered in a fair and equitable way. Everything is a learning experience and I thought I would breeze through first time and didn’t. I actually did some study for the 2nd attempt with a paid prep course – I felt it was unnecessary as I should already know what I’m doing. That helped me just recognise a few little things that I could improve in myself and provide even better support to my clients, as well as look at exactly what the exam is asking. It’s not hard if you approach the exam with an open mind and leave the way you’ve always done things behind. Improve yourself, be aware of the framework we operate within and the exam is pretty straight forward. For those that are still trying to pass, spend some time and money on a course to get you ready for the next attempt, it’s money well spent if it’s saving your career.
Well said!!
[quote=Anonymous]DO request re-mark, best $198 ever spent in my life…[/quote]
The email from ACER goes to great lengths to make you think there’s no point: “All written responses have been double-marked by approved expert markers. These scores have been reviewed and adjudicated by the expert Chief Marker”.
Golly, all these actual expert humans reviewing my responses AND an “expert Chief Marker”. I failed but I’m bewildered what they think I missed. I’m considering asking for a re-mark, but really wondering if there has been much success for people doing this?
This means that about 46% of re-sitters passed.
I am truly empathetic with anyone who failed the FASEA exam. It is truly not a true representation of an advisers ability or useable knowledge. Thankfully I passed
Me to – on the third attempt, and after spending a lot of time and money in 2021. Despite FASEA reformatting this exam and asking very dodgy interpretation questions based on the values, not the standards
According to the AFA 16,587 financial advisers can continue. 15,500 having passed FASEA and 1,087 who have failed twice and can keep attempting to pass.
DO request re-mark, best $198 ever spent in my life…
May have worked for you. Did not work for me, a complete waste of $198..
the comment for my failed result contained 3 bullet points, how many did you get in yours?
This is a pointless exam. I’ve passed and did on my first sitting, but this did not test my knowledge or skills as an adviser in any way. What this did examine, is completely covered by having a competent compliance team.
It’s a shame excellent and experienced advisers are being pushed out of the industry from this cart of manure.
If those advisers really are “excellent & experienced” than they should’ve had no issues passing the exam.
The only ones being pushed out are those who cant repeat the fairly basic building blocks that advice is built upon – an understanding of the legislative framework, advice construction principles and ethics. Simples.
I feel for those that have yet to pass this hideous exam that is designed to trip people up, rather than test their knowledge of the financial planning history. For those yet to pass, enjoy your Christmas come back in the New Year and nail this.
There really is no excuse for any longer tenure adviser failing the exam on the second or third attempt. This result just proves that length of service is not a substitute for education
With all due respect Jen, how is this exam in any way “education”. 90% of irrelevant to occupation content depending on your discipline. The very best advisers have failed the sitting with 20 years plus of flawless work for their clients with zero complaints. I would rather get advice from an adviser with knowledge and experience and track record in his industry rather than an exam passer.
May I respectfully retort. We all need to show respect to the committed advisers who have committed to on-going education and passing this exam because they have seen it as a necessary move not only show their commitment to improving the image of our industry. We have a history of well meaning qualifications which some advisers had to work hard to achieve whilst others received them based on length of service and the multitude of grandfathering arrangements to pacify advisers happy with the stars quo. Just a side note, I’ve never considered CPD points awarded based on attendance as education.
This exam actually creates a standardised measurement by which advisers knowledge can be compared. The real winners are those advisers with tenure, experience AND a benchmarked intensive exam / qualification process. The new qualifications show that an experienced adviser has 20 years experience and not 1 year of experience 20 times over.
Our industry needs these exams.
Try and do the same to Doctors or lawyers you will get a different outcome
Disagree Jen. This doesn’t test relevant skills that are important for providing advice to clients.
The reasonable excuse for many is trying to find time in servicing clients and then finding time to do study for a pointless exam. I’d feel differently if the time spent doing study would actually improve the advice or process of advice to clients but this does not. It’s merely a time hassle thrown on top of what has been over the last couple of years major distracting changes in the industry which I still do not see provide any real benefit for clients. All it has really done is increase the cost of advice.
This exam should have been scrapped a long time ago and replaced with one that actually test for a base line of good advice and promote better advice. The current exam merely test ones skill to locate answers to tricky legislative examples that one would ordinarily refer to the compliance team in any event.
I’m just gutted. I’m in the 48% – and second time round.
This is just so totally soul destroying. Shut my business down for over 2 weeks to study for this resit and still failed. The worst thing is the vagueness of the feedback you get. Its wrong on every level.
My licensee audits have me as a low risk with the amount of work and effort I go to with my clients and I’ve never had a complaint go past earliest stage discussions (which were both thrown out as laughable) yet here I am, facing dismissal from an industry I’ve given my all to for 14 years.
So sorry to hear that, really hope you can find a way through….hang in there!
I have to admit that although this was my first sitting and I passed, I think the exam is a disgrace. I passed more because I was looking for the ways they were trying to trip me up, than my actual knowledge.
It tested nothing other than that I am generally good at exams.
good insight… I blew one question at least on not taking that tack.
I feel your pain, I had to re-sit the exam multiple times to get through. It’s been a massive cloud over my head for the past 18 months and it severely affected my mental health and confidence in doing the job I love. As advisers, our job is to always think of the worst case scenario, and the thought of not getting through this and potentially losing my business was truly terrifying for me, and I’m sure you’re feeling the same way.
I know a lot of extremely competent advisers that had to sit the exam multiple times to get through. Some people just don’t handle exam situations as well as others, especially with an exam marked by people who are looking for particular answers and not so much a practical approach.
Keep your head up, all is not lost. Make a list of things that you felt you were unsure about over your previous attempts and make sure you nail it in your preparation for the next exam.
Best of luck next time round — you’ve got this!
Thanks for the support, I’m in this boat too. i find it very hard so hopefully next year i will nail it.
Me too mate. Plenty of us about…
I understand completely. I sat the exam for the first time and FAILED. I have been in this industry for over 50 years ,never had a complaint lodged against me. Hundred’s of satisfied clients who will now be lost. Watch this space for a fighting fund to scrap this UNFAIR exam or make it restructured and FAIR, No 3 possible answers to the one question but one only genuine. Spotlight to go onto the examiners who set this mickey mouse exam.
As the overall results have shown, the exam isnt that difficult. It would be interesting to know what study you did for 2 weeks to see you still fail…. And I’m still astounded by the number of planners who still havent passed an exam where the original deadline was 12 months ago. Planners failing to plan for themselves yet wanting to give planning advice to others…what could go wrong…
One thing no one mentions is multiple choice can be luck. Like Kaplan, there are 2 answers to every question, did you just happen to pick the ones they were looking for and are now puffing your chest. i bet you would look at this diffirent if you lucked out on which of 2 correct answers they were looking for. i did the fasea practice exam, 75% of those q were in it. i memorised the answers, so how did i fail, did they change the answers, they were worded the same.
Try and do the ethics subject if you have time, with kaplan as the assignments will get you back into how to complete the test “how they want you to answer things for a Uni exam instead of the real world are different things.
Get your partner or someone who can help and print the practice test and get them to test you for one hour everyday and if you have older practice exams questions downloaded use these use these too.
Work on the short answer questions in this time period you study, you will find they have a style how they want you to word things. they will word the answer starting like= the adviser should….
[b]Short answer structure to follow:
[/b]
[i]Introduce: What is the problem – (they will give this to you in the question)
Explain – this paragraph explain the issue/problem/dilemma (the what used from your intro) and make sure you relate it back to the answer back to the question and people in the case
Summarize – the problem with or give the solution relate back to best interest or safe harbor steps [/i]
You need to take the adviser cap off and [b]just have the view point that you a compliance person[/b] and even write the answers in that way. Should never answer like this…. I would do etc you are putting yourself in the shoes of the adviser…you have to view it from a compliance person “the adviser should have done X”
Use the format above and then just practice 30min or 1hr life is too busy to do more. I tried to do more and I just felt burnout just keep it constant I did 40min every weekday. I didn’t pass straight away but passed once I worked on the short answers and keep to this structure introduce/ explain and summarize must relate back to the case study…. you can’t just say they failed best interest duty for example without relating this back to the case study.
keep you head up you might have not passed by one mark….. think of it like a CPD test were you just not quite getting that last question because they worded it funny to trip you up. Keep going….
if you are experienced you are most likely just failing a couple of questions in the multi-choice and then just not getting enough marks in the short answers so concentrate on working and writing the short answers and explain in your own words to whoever can help test you. You are not dumb or unethical you just need more practice keep going.
me gutted too, worse thing is i know i passed.
Deliberate
Non transparent
No recourse
People just getting in for their second fail, so they can keep practicing next year. What a shame.
642 advisers to go by the end of the year then…
More than that in theory as only 15500 are recorded as active advisers. I know of advisers who passed the exam in 2019 who have now left the industry.