FASEA needs to implement the Code of Ethics

12 September 2019
| By Oksana Patron |
image
image
expand image

The Financial Adviser Standards and Ethics Authority (FASEA) should have greater responsibility for implementing the Code of Ethics and enforcing its standards.

According to chief executive of the Financial Planning Association (FPA), Dante De Gori, who spoke today in Sydney during Money Management’s Future of Wealth Management conference, FASEA should also ensure the implementation of the Code of Ethics.

De Gori stressed that FASEA has set the standards but is not currently in a position of enforcing any of their standards.

“FASEA have developed the Code of Ethics, but apart from developing it they have no responsibility or obligation in ensuring that anyone meets those standards,” he said.

He said that even as far as its education requirements were concerned, it was the licensee who was actually responsible for ensuring that a person would meet them.

He reminded that, according to the legislation, that financial planners and advisers must be subscribed to an authorised and approved code monitoring body, however, currently there are not any code monitoring bodies that exist.

At the same time, De Gori said that instead of having five or six different monitoring bodies the FPA was one of the associations which supported the idea of creating one body – Code Monitoring Australia.

“We are now in the hands of ASIC whether the Code Monitoring Australia would be approved or not and this announcement will be made sometime in October,” he said.

Chief executive of the Australia Financial Advisers, Philip Kewin, agreed: “If we have the same message but it comes from multiple parties it can actually have more strength than just one voice or one person saying the same thing.”

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

GG

So shareholders lose a dividend plus have seen the erosion of value. Qantas decides to clawback remuneration from Alan ...

2 months 1 week ago
Denise Baker

This is why I left my last position. There was no interest in giving the client quality time, it was all about bumping ...

2 months 1 week ago
gonski

So the Hayne Royal Commission has left us with this. What a sad day for the financial planning industry. Clearly most ...

2 months 1 week ago

A Sydney-based financial adviser has been banned from providing financial services in the interest of consumer protection after failing to act on conduct concerns. ...

3 weeks 3 days ago

ASIC has cancelled the AFSL of a $250 million Sydney fund manager, one of two AFSL cancellations announced by the corporate regulator....

3 weeks 1 day ago

Having divested its advice business in August, AMP is undergoing restructuring in at least four other departments amid a cost simplification program....

2 weeks 5 days ago