Industry associations release FASEA submissions

The associations have made recommendations to the government body outlining their concerns with the current proposed education standards, with both separately recommending the government body recognise post-graduate study, CPD and unrelated degrees more highly.

In its submission, the AFA said it accepts the need for increased education standards but that these need to be “reasonable and pragmatic”.

“We do not believe that the current position expressed by FASEA adequately recognises the valuable experience of existing advisers or the courses that they have undertaken during their careers, including both formal qualifications and ongoing CPD,” the AFA said.

“We also do not believe the FASEA proposals are consistent with the intent of the professional standards legislation. We are therefore arguing for a range of enhancements to the FASEA proposal for existing advisers.”

Similarly, the FPA said that it supports government’s intentions, but that FASEA needs to be wary not to “unnecessarily create restrictions on competition, restrict consumer choice, or raise prices for consumers”.

“Recognition of education with learning outcomes specific to the provision of financial advice aligns with the legislative permission for FASEA to consider recognised prior learning (RPL) and the key principle of providing consumers with confidence that all financial advisers have the appropriate and specific skills and knowledge needed to provide quality financial advice,” the FPA said.

“The FPA proposal will be less costly and resource intensive for FASEA, advisers and licensees to administer."