ASIC delays work on planner education
The Australian Securities and Investments Commission (ASIC) has delayed work on its financial planner training framework while the Future of Financial Advice reforms are being implemented.
Money Management understands the regulator will in particular postpone its work on the national exam proposal contained in Consultation Paper (CP) 153 released in June, 2011.
However, ASIC plans to enhance the current training standards contained in the Regulatory Guide (RG)146 - an announcement welcomed by the financial planning industry.
"We welcome the review of RG 146," said Dante De Gori, general manager for policy and standards at the Financial Planning Association (FPA).
"Everybody would agree that a review and an enhancement to competencies for financial advice is timely with FOFA coming in and the development of the profession."
The longer that's delayed the longer that uncertainty continues.
The FPA itself is implementing significant changes to the education requirements, such as the obligation to have an approved degree qualification for all new members as of 1 July this year.
However, the industry must be careful not to raise the bar too high too quickly, De Gori said.
"It has to be done in a balanced way," he said.
"You need to balance the issue of raising standards with the practical application to industry; planners will need to go through the right training and processes while still providing services and advice to consumers."
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