Hayne Royal Commission

August 2018 CFA Societies Australia submission to Hayne Royal Commission

FASEA

August 2018 Foreign Qualification – FASEA Submission

August 2018 CPD – FASEA Submission

July 2018 Financial Adviser Examination – FASEA Submission

June 2018 Proposed Education Pathways – FASEA Submission

June 2018 Code of Ethics –  FASEA Submission

Financial Systems Inquiry

January 2016 –  FSI Submission

August 2014 – FSI Submission

March 2014 – FSI Submission

ASIC

November 2017 – ASIC Submission

May 2013 – ASIC Submission Dark Pools

Treasury

January 2016 Treasury Submission

CFA Societies Australia and CFA Institute formally applied to the Financial Adviser Standards and Ethics Authority (FASEA) for recognition of the CFA Program and CFA Charter. In August 2019 we were advised that Advisers who hold the CFA designation have been awarded one credit for recognition of prior learning (RPL).

Advisers will also need to have their other relevant studies assessed in order to determine the number of courses, from a total of eight, that need to be completed. A relevant degree will provide four units credit.

Therefore, as an example an Adviser holding a relevant degree and the CFA charter will need to complete three units.

Advisers with a non-relevant degree will need to complete six units.

As each adviser may have a different mix of degree and professional designations, we recommend that for guidance on the specific courses required to meet the education standard that Advisers use FASEA’s online Education Pathways tool (link) or apply to FASEA using the Australian Qualification Feedback Service (link).

Advisers need to meet the new education standard by 1 January 2024. For more information on the standards, and a full list currently available courses, visit the FASEA website here.

As the professional body for the investment management industry in Australia, CFA Societies Australia and CFA Institute share a mission to promote the highest standards of ethics, education and professional excellence in the investment management profession, for the ultimate benefit of society.

The Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry (Hayne Royal Commission) has shone a spotlight on many areas of financial services where the rights of investors have been compromised. We are therefore advocating for policy changes to firmly address this issue in line with our mission.

It is imperative that decisive, visible actions are taken to restore public trust and confidence. We believe that policy needs to focus on several key areas to improve the outcomes for clients of financial advice firms. These include strengthening best interest duty and ensuring appropriate consequences; outlawing conflicted remuneration practices; ensuring independence of advice; and the professionalisation of the financial advice industry.

These changes will improve the public perception of the industry, allow more equitable fees for services provided and help to deliver better outcomes for the investing public. These changes together go to the heart of the culture we have seen to be operating in parts of the industry – bringing together regulation, systems and behaviours to create a stronger and fairer financial services sector.

Our response to the Hayne Royal Commission is informed by the views of senior industry participants and CFA charterholders working across the investment management industry, including members of the national Advocacy Council. It reviews the findings of the many previous formal reviews into the sector and the lack of meaningful and effective change that followed those reports.

Read more:

• Professionalising Financial Advice(full report)
• Media Release
• Infographic of our 10 policy recommendations
• Codes and standards to support industry change
• CFA Societies Australia submission to the Hayne Royal Commission (August 2018)
• An insight analysis of the Royal Commission into misconduct of the Banking, Superannuation and Financial Services Industry (2019)

In April 2011, the Australian Securities & Investment Commission’s (ASIC) issued Consultation Paper 153 outlining a proposed framework intended to maintain and enhance the competence of financial advisers.

This consultation paper seeks feedback on a proposed assessment and professional development framework for financial advisers in Australia. The proposed framework is intended to enhance and maintain the competence of financial advisers, lead to improvements in the quality of advice, and increase consumer confidence. The paper includes an outline of the current training and competence requirements for financial advisers under Regulatory Guide 146 Licensing: Training of financial product advisers (RG 146), we have undertaken an informal consultation and proposed a three-stage assessment and professional development framework.

Subsequent to initial responses from CFA member societies in Australia, ASIC issued additional questions.

CFA Societies Australia responses to additional ASIC Consultation Paper questions

Read the responses (PDF)

On 25 September 2013, CFA societies in Australia responded to ASIC Consultation Paper 212 – Licensing: Training of financial product advisers – Update to RG 146.

CFA Societies Australia response to Consultation Paper 212

Read the responses (PDF)