The Financial Adviser Standards and Ethics Authority (FASEA) has today released further guidance on new education requirements.
Advisers with a Bachelor Degree in a related field (Accounting, Financial Planning, Financial Advice, Business, Commerce, Law or Economics) will need to complete a bridging course of three study units to meet the new education standards. (FASEA have said this will equate to less than one year of study if taken part-time).
Advisers with a Bachelor Degree and a Postgraduate Qualification in a related field will only need to complete a one-unit bridging course covering the FASEA Code of Ethics.
All Advisers with either of these types of qualifications will be eligible for the relevant bridging course option. (Previously there was some talk of needing to have completed the degree within the last 10 years).
FASEA is working with higher education providers to develop the bridging course offerings with the aim to have several options available for the start of 2019. FASEA are also working to ensure ‘new’ Bachelor Degrees will include the new units of study.
This will allow five years for Advisers to complete any necessary courses before the 2024 deadline.
Advisers with a Diploma in Financial Planning will be required to complete an eight-subject Graduate Diploma before 1 January 2024.
Advisers with an Advanced Diploma in Financial Planning will be required to complete an eight-subject Graduate Diploma before 1 January 2024.
By way of reminder:
Existing Advisers (registered with ASIC before 1 January 2019) will need to:
1. Pass the exam before 1 January 2021.
2. Have a relevant bachelor or higher degree, or equivalent qualification before 1 January 2024.
3. Continue to comply with CPD requirements as per current requirements
4. Comply with the code of ethics and be covered by a compliance scheme before 1 January 2020.
New Advisers (registered with ASIC after 1 January 2019) will need to immediately:
1. Pass the exam.
2. Have a relevant bachelor or higher degree, or equivalent qualification.
3. Comply with CPD requirements
4. Complete a professional year of supervised work and training.
5. Comply with the code of ethics and be covered by a compliance scheme before 1 January 2020.
It is our understanding that General Advice providers do not fall under the Financial Adviser Standards and Ethics Authority and will be required to continue to comply with the ASIC Regulatory Guide 146. ASIC have announced they will be updating RG146, with no timeframe given as yet, however, as RG146 ceases to apply to Financial Advisers authorised to give Personal Advice from 1 January 2019, we can assume the update will come before that date.