Advisers' days are numbered
An industry wide numbering system for advisers is a step closer to fruition following the creation of a working group within the Investment and Financial Services Association (IFSA).
An industry wide numbering system for advisers is a step closer to fruition following the creation of a working group within the Investment and Financial Services Association (IFSA).
Developed by APIR, the numbering system will be issued to proper authority holders as a unique, industry wide, life long number which will identify them to dealer groups.
The scheme is much like that developed by APIR for managed funds and Hutchings says the need for a permanent code was the change to licensing laws under the Corporations Law Economic Reform Program (CLERP 6) and the need to continually comply with those changes in the future.
“This is being seen not only as a good idea but a necessity under CLERP 6,” Hutchings says.
Hutchings says the system will also allow advisers to be able to identify they have been part of the industry and be able to prove they can do the job.
"The codes are not the actual system but like plates on a car which we use to map relationships across the industry and verify that entities exist in the way they should."
The scheme is slated for first release in early next year after passing industry approval from various regulators and professional associations.
Stakeholders include the regulatory bodies, planning, accountancy and insurance sectors, industry associations, some banks and fund managers, industry commentators, software suppliers and consumers associations.
“There has been a very solid buy in from most groups as the issue of compliance is just too hard to deal with on an individual level,” Hutchings says.
AUTHOR
Jason Spits
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