Powered by MOMENTUM MEDIA
moneymanagement logo
 
 

Advisers question FASEA’s two-thirds discount

FASEA/stephen-glenfield/advisers/planners/

3 July 2020
| By Mike |
image
image image
expand image

A number of financial advisers have questioned an assertion by Financial Adviser Standards and Ethics Authority (FASEA) chief executive, Stephen Glenfield that FASEA is “offering a two-thirds discount for experience” when it comes to advisers reaching Bachelor degree recognised status. 

Glenfield made the claim in an opening address to the House of Representatives Standing Committee on economics, a transcript of which was released on Thursday, but advisers are claiming that such an assertion is disingenuous. 

One adviser told Money Management that the two-thirds discount claim did not reflect the reality that he had passed the FASEA exam and his ethics unit and now had seven more units to complete inside the prescribed five-year time-frame. 

Other advisers pointed to the fact that the New Entrant (Career Changer) – Postgraduate pathway was described by FASEA itself as “ typically consisting of eight courses or more offered by a TEQSA Registered Provider and contains the FASEA Financial Adviser Curriculum as a core part of the program”. 

“On that basis, where is the reality of the two-third discount?” one asked. 

In his opening statement to the Parliamentary Committee, Glenfield said: “FASEA recognises the past experience and learning from existing advisers who do not hold an approved degree. In recognition of their practical experience current advisors who do not hold an approved degree are required, at a maximum, to complete an 8 course Graduate Diploma rather than a 24 course Bachelor degree”. 

“In effect this is a 2/3rds discount for experience. With a transition period to 1 January 2026 this means an existing adviser with no bachelor or higher or equivalent level of study will, at most, be required to complete approximately one subject per year to meet their education requirement.” 

“Advisers who have completed relevant degrees or other forms of equivalent study are required to do less than this through FASEA’s recognition of relevant degrees and prior learning,” Glenfield said.  

“For example, a stockbroker who has not completed an approved degree at bachelor level but has completed the historical Securities Institute Graduate Diploma of Applied Finance and Investments will only be required to complete an ethics bridging course to meet the education requirement.” 

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

Significant ethical issues there. If a relationship is in the process of breaking down then both parties are likely to b...

2 weeks 4 days ago

It's not licensees not putting them on, it's small businesses (that are licensed) that cannot afford to put them on. The...

3 weeks 4 days ago

So we are now underwriting criminal scams?...

6 months 3 weeks ago

After last month’s surprise hold, the Reserve Bank of Australia has announced its latest interest rate decision....

2 weeks 6 days ago

WT Financial’s Keith Cullen is eager for its Hubco initiative to see advice firms under its licence trade at multiples which are catching up to those UK and US financial ...

3 weeks 3 days ago

While the profession continues to see consolidation at the top, Adviser Ratings has compared the business models of Insignia and Entireti and how they are shaping the pro...

5 days 2 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
74.26 3 y p.a(%)
3