Finally, Mulino moves on adviser education standards
The Federal Government has finally moved to reform financial adviser education requirements launching a consultation process.
The consultation, announced by the Assistant Treasurer and Minister for Financial Services, Daniel Mulino, seeks to move beyond the Financial Adviser Standards and Ethics Authority regime.
Mulino said the consultation was aimed at creating a “sustainable and flexible pathway for new advisers to enter the profession and help address declining adviser numbers.
He said the consultation paper canvassed streamlining entry to the industry, while retaining the important role of tertiary education.
“The proposed standard will require prospective advisers to hold a bachelor’s degree or higher. They will also need to meet minimum study requirements in relevant areas such as finance, economics or accounting, along with completing mandatory financial advice subjects covering ethics, legal and regulatory obligations, consumer behaviour and financial advice fundamentals,” his announcement said.
The consultation was welcomed by the Financial Services Council (FSC) which said reforming the current education framework represented an important step in addressing the sharp decline in adviser numbers.
“Current education standards are unnecessarily restrictive, creating barriers for both aspiring advisers and existing professionals trying to meet the requirements,” FSC chief executive, Blake Briggs said.
The Treasury consultation paper lists the issues to be addressed as high barriers to entry, an overly prescriptive curriculum and administrative burden.
The proposed new standard contains three requirements for advisers to complete:
A Bachelor degree or higher, four financial concepts subjects and four accredited financial advice subjects. The remaining professional standards requiring the completion of the financial adviser exam, professional year and continuing professional development.
A BA in zoology will not assist the public.
Where is the red tape relief ?
Anyone with a functioning brain and understands risk/reward will not enter the profession as it currently stands.
Any BA hey ?? What a dumb idea ? Cut the red tape and like shorter SOA ‘s that get you the point and put a big of trust in those that have been doing this and supported dozens of clients for decades
Compare the pair. Stephen Jones promised the world and delivered nothing. Daniel Mulino is promising the world and delivering nothing. Unless it will benefit their union fund mates don’t expect anything to be delivered.