FASEA timing ‘absolutely unreasonable’ says AFA

The Financial Adviser Standards and Ethics Authority start date of 1 January 2019 is “absolutely unreasonable” for new continuing professional development (CPD) arrangements, according to the Association of Financial Advisers.

In a submission responding to FASEA’s CPD proposals, the AFA has also warned that the current draft legislative instrument intended to underpin the new arrangements “lacks the required level of clarity and specificity in order for it to be implemented”.

“Put bluntly, this is an impossible proposition for over 2,200 advice licensees to implement, at this time of the year with only three weeks left before it is due to commence,” the AFA said.

“The best outcome is always achieved on the back of sensible, considered, and pragmatic reform with time to plan, prepare and implement,” it said. “In this context, the cost will be unnecessarily excessive, with a lot of wasted (or inefficient) activity and the overall outcome being sub-optimal.”

“We can only ponder the reasons for an independent regulator, such as FASEA, to push such an unachievable timeframe and proposal in the current environment.”

The AFA submission follows on from that of Deakin University to FASEA which was equally critical of the proposed start date.