NIA launches FOFA assistance for members
The National Institute of Accountants (NIA) has launched an assistance program focused on the proposed Future of Financial Advice reforms, which the association says will help its members tackle relevant issues coming out of the package.
Vicki Stylianou, NIA’s executive general manager for representation and innovation, said the program would provide advice on how to prepare for different FOFA proposals affecting accountants, such as the withdrawal of accountants’ exemption relating to self-managed super fund (SMSF) advice.
The program, which Stylianou said did not yet have an official name, was developed based on NIA’s research into what its members wanted to see addressed.
“What they want to be able to do is to still give the advice that they always have been giving, especially around SMSFs and superannuation generally,” she said.
“There is probably going to be some form of registration or licensing, however we want the Government to recognise that accountants are already qualified and subject to [the same] ethical [and compliance] requirements.”
“They prefer not to be in a situation where they all of a sudden are going to have to do numerous courses just to do what they’ve already been doing and are qualified to do,” Stylianou added.
The FOFA assistance program will also provide advice on how to prepare for the second phase of the National Credit and Consumer Protection Act, as well as changes around super and adviser education standards.
Stylianou said accountants faced competition, not only from financial advisers, but from the banking sector as well, and that they needed advice on how to fight this competition, “no matter what the Government throws at us”.
NIA is currently discussing these topics with the Government and financial services industry bodies and is still developing solutions in different areas, Stylianou added.
Recommended for you
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
Compliance professionals working in financial services are facing burnout risk as higher workloads, coupled with the ever-changing regulation, place notable strain on staff.
