Financial services education provider Kaplan has come out in support of the Australian Securities and Investments Commission (ASIC) moving away from overseeing training and education, stating this was not the role of a corporate regulator.
Earlier this week ASIC released Consultation Paper 215 (CP215) which stated ASIC would not continue in its role of overseeing financial services training and education nor continue the register of approved training courses.
Kaplan Professional Education general manager Brian Knight said the training register had served its purpose in that licensees were now familiar with what courses and training providers meet the standards required under Regulatory Guide 146 (RG146).
“It is our view that being on the ASIC register did not include any assessment that guaranteed the quality of training,” Knight said, adding that it was the role of educating regulators and education and training providers to assess courses against RG146.
Knight said that after a number of years of mandatory education requirements, licensees are aware of which courses “are rigorous and effective in preparing advisers for the role and which ones are superficial and not thoroughly assessed”.
He also said the removal of the register will measure the ability of licensees to recruit people who have completed reputable courses and put the onus on licensees to not rely on courses because they are on the training register.
“There are still obviously providers who offer quick and easy training solutions, but licensees and industry associations are well aware of this and do not encourage prospects to complete them,” Knight said.
While concerns have been raised by other participants in the education space that ASIC’s action will mean no courses will be audited to ensure they meet RG146 requirements, Knight said education and training providers are bound by strict requirements to maintain records and to provide evidence of completed courses.
“We think associations such as the Association of Financial Advisers (AFA) and Financial Planning Association (FPA) can play an important role in recommending and approving robust and suitable training courses. We also have great confidence in the existing regulators which already regulate us.”
