FAAA to expand approved specialisations program

The Financial Advice Association Australia (FAAA) has announced it will expand its approved specialisations program to broaden its range of qualification designations.

Currently, the program only includes specialisations in aged care, life risk and the Fellow Chartered Financial Practitioner (FChFP), but applications are now open to education and designation providers offering qualifications in a broader range of financial advice areas.

Namely, the FAAA is seeking programs in estate planning, retirement, money therapy, self-managed superannuation funds (SMSF) and responsible investing, however, other specialist fields relevant to advice will also be considered.

Speaking on the announcement, FAAA general manager of education Anne Palmer said this initiative comes on the back of increased demand from consumers for advisers with demonstrated expertise in specific areas.

“We want to support advisers in their ongoing learning and development, and help them stay in the profession they’ve worked hard to be part of. Licensees with advisers focusing on aged care or SMSF, for example, often mandate further education in these fields for their advisers. 

“An FAAA-endorsed specialisation ensures the education content is of sufficient standard, and that advisers holding the specialisation are continuing to undertake at least five hours of CPD per year in staying up to date in that field.”

Expanding the program, Palmer said, will help advisers “distinguish themselves professionally”, while partnering with quality education providers to “raise the standard of advice across the industry”.

“Recognising high-quality specialist education is one way we can make that pathway clearer, more rewarding, and more accessible.”

Education for financial advisers has evolved considerably over the last decade through the implementation of higher education standards and stricter measures for new entrants. Speaking with Money Management in July, two advisers discussed the merit of engaging in further education now that the bar has been raised so high.

Namely, Grant Millar, financial adviser and founder of Inspired Financial Planners in the Gold Coast, argued that much of the value in study beyond what is strictly required is being able to demonstrate knowledge to clients through certifications and qualifications.

“I don’t feel like I get a significant amount of value from a lot of formal qualifications. I feel like I get a lot more value out of lived experience.”

Conversely, Rebecca Pritchard, senior financial planner at Rising Tide Financial Services, is an avid believer in the value of ongoing study, believing it offers an opportunity to enhance her professionalism and education.

Discussing the significance of gaining recognised qualifications and determinations, she said: “On one hand, they’re like a badge of honour, and on other hand, they are an external body that is providing scrutiny that you then get the benefit of to say, ‘I actually went in a deep dive process and I came out on the other side with this to show for it’.”