Another annual fee for advisers

Financial advisers will have another annual fee to pay under the Government’s proposal for an annual financial adviser registration under its new disciplinary regime.

In its exposure draft legislation regarding the new regime, the Government said it proposed that a fee to register would be payable and that the registration would need to be renewed annually.

“This will be set in the Corporations (Fees) Regulations 2001. The Government will consult on these regulations at a later date,” it said.

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“…Registration needs to be renewed annually. However, provided that the registration renewal form has been submitted by the due date, a financial adviser can continue to provide advice without needing to wait for ASIC [the Australian Securities Investments Commission] to confirm that the adviser’s registration has been renewed.”

The obligation for an adviser to be registered would sit with the licensee and if the adviser was the licence holder, the adviser would be registering themselves.

Licensees had between 1 January, 2022, until 1 January, 2023, to register existing advisers to be able to continue to provide advice.

To register, the licensee would need to submit a registration form to ASIC which would need to include:

  • A declaration from the adviser that they are a fit and proper person;
  • A declaration from the licensee that the person has met the education and training standards; and
  • A declaration from the licensee that they are not aware of any reason why the adviser is not a fit and proper person. This is required to be based on information already available to the licensee and will not require the licensee to undertake additional investigation.

ASIC would then register the adviser on the Financial Advisers Register (FAR).

The Government noted if an adviser provided advice while unregistered, and their licensee had not revoked their authorisation, the licensee was subject to penalties.

“This places the onus on the licensee to register the adviser, or revoke their authorisation,” it said.

“If an adviser gives advice and the ‘adviser’ is not authorised by a licensee (or their authorisation has ceased) – then it is the adviser who is in breach.”

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Annual registration fee - provided its only about what I pay to the TPB I don't mind. BUT, DITCH THE ANNUAL ASIC LEVY.

Pointless, unnecessary and a waste of time. They bang on about lowering the cost of advice, but unless we are able to run a business like every other professional, having a shorter SOA or no safe harbour won't reduce the cost while this sort of crap continues.

So do ALL other Adviser registrations cease ?
Doesn’t look that way, this seems to replace the TPB only but seems 10 times more burdensome.
More costs, more paper work, more Red Tape. WTF MIA Jane Hume you really amaze the moronic senses of over complication, mass duplication and over regulation. Clown complete clown.

Does anyone know what other "professions" have to pay each year in terms of levies, renewals, registrations etc? Just curious.

Affordable advice is clearly not an ASIC priority. Another round of fee gouging for no service from a redundant body that will simply seek to castigate advisers on a whim in their kangaroo court.!

These questions are already being asked annually on renewal by the FPA and the TPB.
Seriously, keep screwing the tripe out of the financial planning industry and you'll have no one left to nail !!!
ASIC have already increased their levy by 80.0% from last year to bolster the perceived 'war chest' needed because of dwindling numbers with the promise of another 80.0% increase next year.
The TPB has also increased their fees by 80.0% this year for corporate registrations.
Why doesn't the government just come out and say, we don't want financial planners any more !
God help the last man/woman standing

Are there other advisers, and ex-advisers, being affected by the "lookback audits" (fees for/no service) from 2008?

ASIC has made it pretty clear they don't want Financial Planners..and it's further evidence by making the licensee sign a declaration that Adviser X is of good character where in other industries it's the individual ..For some time ASIC preferred model has been for Australians to get strategic advice from Accountants, under the guise of tax advice (or advice from their super fund) and buy a product from a super fund or a financially large insto. This actually suits so called representative bodies like the FPA cause they're still getting payments from Super fund Call Centres, like AwareSuper. I've seen three Advice firms close down in the last 5 years...regulated out of existence.

Agree - it certainly looks like they really just don't want this industry to survive...i mean how are you supposed to pivot and adjust to rules that they have even yet to give any guidance on? ie they have already said that there are key documents that will need to be kept by advisers around the new ongoing fee arrangements and it all comes into effect July 1 but yet to issue ANY guidance at all on what those docs are...??? WTF?

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