The financial advice industry has reacted to the appointment of Dr Daniel Mulino as the new Minister for Financial Services.
Mulino was appointed by Prime Minister Anthony Albanese this week to take over the post of Assistant Treasurer and Minister for Financial Services.
He will succeed Stephen Jones who retired from politics at the election after 15 years, having first been elected to Parliament in 2010.
Mulino has been a member of the House of Representatives standing committee on economics since 2019, serving as the chair since August 2022, and has a PhD from Yale in economics.
Responding to the news, financial advice organisations stated their desire for Mulino to focus on fixing the Compensation Scheme of Last Resort (CSLR) and continuing the Delivering Better Financial Outcomes (DBFO) legislation.
Speaking at a Momentum Media event prior to the election, Jones stated the Labor Party had moved the dial “significantly” during his tenure and believed “six more months” would allow the party to progress on DBFO.
Sarah Abood, chief executive of the Financial Advice Association of Australia (FAAA), said: “Dr Mulino has a strong background in finance and economics, and we welcome the opportunity to work with him on issues such as the DBFO reforms, and fixing the CSLR. These are priorities that our members are keen to see addressed quickly by the federal government.
“It is critical that we build a healthy and sustainable financial advice community in Australia to help more Australians achieve financial wellbeing and security.”
Judith Fox, chief executive of the Stockbrokers and Investment Advisers Association (SIAA), said she hoped he would concentrate efforts on the education standards for advisers.
“[Mulino] is well-credentialled and has a track record of consultation with stakeholders. He brings serious economic thinking to the portfolio. Given the complexity of financial services and its importance to the economy, that is very welcome.
“A key policy issue already underway that the Labor government has committed to that requires momentum is the reform of the education standard for financial advisers. The need to make the new entrant pathway more flexible so that we rebuild the pipeline into the profession is urgent, given the importance of Australians being able to seek financial advice from qualified advisers.
“Of course the review of the CSLR is vital to complete to implement changes to make it sustainable, and there is a need to review aspects of the DBFO reform package to ensure it genuinely reduces red tape, resulting in making financial advice more accessible and affordable.”
Blake Briggs, chief executive of the Financial Services Council (FSC), said: “As chair of the House Standing Committee on Economics and a member of the Parliamentary Joint Committee on Corporations and Financial Services, Dr Mulino comes into the role with a good understanding of the significant economic contribution financial services industry makes to the Australian economy, as well as a balanced view on the opportunities and challenges the sector faces.
“Dr Mulino commences in the role with a range of important reforms underway, and has the opportunity to complete those processes with broad industry support.
“The FSC supports the Assistant Treasurer prioritising the government’s landmark financial advice reforms, which have the potential to significantly expand access to financial advice for Australians at scale and reduce costs for the financial advice profession.”
