FASEA proposes “Provisional Financial Advisers”
The Financial Adviser Standards and Ethics Authority (FASEA) has outlined the guidance it is proposing to cover the incoming Professional Year requirement for financial planners.
The authority announced today that it was proposing that the professional year would encompass practical learning of four core technical competencies that provisional relevant providers have learned during their degree studies – technical competence, client care and practice, regulatory compliance and consumer protection, professionalism and ethics.
It said a quarterly approach to the supervised practical learning was being proposed.
FASEA said new advisers would undertake the PY requirements in their first continuous 12 months of full-time employment and it was proposed they would be known as Provisional Financial Advisers during that time.
It said that where an adviser took a career break for periods of less than two years, they would be able to return without additional requirements over and above professional and education standards for existing advisers.
However for periods of two years it said they would need to undertake appropriate continuing professional development to ensure they were equipped with the latest regulatory and licensee requirements.
The guidance also proposes that a supervisor within each advice business will be appointed to take responsibility for the Provisional Relevant Provider’s work and training, ensure evidence is collected in a logbook and attest to the completion of their PY requirements.
The Provisional Relevant Provider’s licensee will also be responsible for providing the appropriate resources to ensure their training standard has been met.
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