FASEA reports rapid rise in new advice entrants

Addressing the SMSFA National Conference 2021 last week, FASEA chief executive Stephen Glenfield said more than 1,200 students had opted to study financial planning degrees last year, according to university data.

“Based on preliminary returns from education providers from 2020, we are looking at a 300 per cent increase in the number of potential new entrants to the industry,” Mr Glenfield said.

“We have close to 300 professional year students being employed by the profession, and on a daily basis FASEA is taking calls from people seeking more information on how they can enter the industry.”

The new data represents a significant increase in professional year enrolment numbers from a low base, with FASEA data from September last year having indicated around 150 advisers were enrolled in PY programs.

The standards authority also told ifa in September that 900 students were enrolled in advice degree courses at the time, meaning enrolment numbers have grown by around 30 per cent in the last quarter of 2020.

Mr Glenfield said 120 of the 300 current PY trainees had already passed the FASEA exam.

He also commended existing advisers on their “commitment to sitting the exam and enrolling in higher study”, with more than 11,200 advisers having passed the FASEA exam.

Mr Glenfield said FASEA would extend its focus on supporting existing advisers through the remaining exam sessions until the 1 January 2022 compliance deadline, offering pre-exam webinars for those registered to sit at upcoming sessions and personalised feedback for re-sitters who were struggling with the exam concepts.

“FASEA has received a lot of feedback from advisers regarding how can we help them to get through [the exam], and we will endeavour to help people through,” he said. 

“In terms of each exam when we release results, we highlight the sections the failing candidates need to study in. We have been providing additional feedback one on one with candidates who have failed multiple times to help them understand what’s driving that result and how they can improve. 

“For those who haven’t sat the exam yet, I would strongly encourage you attend those [pre-exam] sessions.”