The Commonwealth Bank has cited US experience with respect to the implementation of a national register of financial planners, arguing that Australian consumers should be similarly capable of viewing an adviser's full background.
The Commonwealth Bank has used its second submission to the Financial Systems Inquiry to support both the implementation of the national advisor register and increasing the current minimum education standards required of financial advisers.
However it has also argued that some "longstanding" advisers may need to be given time to reach the higher education standards.
"Commonwealth Bank supports increasing current minimum education standards required of financial advisers who provide personal advice to retail clients. Additional measures that safeguard the trust of customers and raise the standards in the financial advice industry more broadly are also endorsed," the submission said.
However it then added, "CBA recognises the industry will need time to transition to new standards as many longstanding quality advisers, who run their own small and medium sized planning businesses, would not immediately achieve them".
On the question of the public register of financial advisers, the submission said the Commonwealth Bank supported the creation of an enhanced public register for all financial advisers, including employee representatives.
"This would provide customers with visibility into individual financial advisers while equipping regulators with the ability to monitor and track advisers," it said.
The submission said that international jurisdictions such as the US currently administered individual registration of financial advisers and that customers who were seeking to use the services of a US registered investment adviser were able to view individual investment adviser representative records that included information about that individual's professional background and conduct, including current registrations, employment history, and disclosures about certain disciplinary events involving the individual.
