Reg costs passed down to accounting clients

accountants/financial-planning/advice/affordable-advice/CPA-Australia/

18 November 2020
| By Jassmyn |
image
image
expand image

Some professional accountants who provide financial planning advice have had to pass on regulatory costs to clients and a framework is needed that encourages advisers to provide more affordable advice, according to CPA Australia.

CPA Australia said it welcomed the Australian Securities and Investments Commission (ASIC) affordable advice consultation and would make a submission.

It noted that accountants that provided financial planning advice had to commit “significant additional resources to meeting their compliance obligation, the cost of which may be passed onto their clients”.

CPA Australia’s general manager external affairs, policy, and advocacy, Dr Jane Rennie, said: “Professional advisers have faced increasing regulation and compliance requirements in recent years. This has increased the cost and time burden of providing advice and driven many advisers from the sector.

“We need a regulatory framework that encourages professional advisers to provide more affordable, independent, high-quality advice – not less.”

Rennie said the lack of affordability and accessibility was a barrier to receiving personal advice and was forcing Australians to “go it alone” when it came to managing their finances.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months 1 week ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

3 weeks 1 day ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

2 weeks ago

One licensee has lost 27 advisers in the past week, now sitting at zero, according to the latest Wealth Data figures....

3 weeks 1 day ago

TOP PERFORMING FUNDS