Minister for financial services, Stephen Jones, has stated his commitment to financial advice after meeting with Quality of Advice Review reviewer Michelle Levy.
Jones said he supported the review continuing under its current Terms of Reference and was pleased with the progress made so far.
Most financial services associations had now made their submissions to the Review including 12 organisations who made a joint submission. These called for five priorities;
- Recognising the professionalism of financial planners;
- Addressing the needs of clients including easier-to-understand documentation;
- Achieving regulatory certainty;
- Improving sustainability of profession and practices; and
- Facilitating open data and innovation.
Jones said: “The Government is committed to ensuring that Australians have access to high quality and affordable financial advice.
"The Review provides an important opportunity to streamline and simplify the regulatory settings for financial advice to reduce cost and remove duplication.
"Alongside the Review, I remain committed to looking at reforms now to assist financial advisers in being able to meet the needs of their clients including the education requirements for experienced financial advisers.”
Comments
I know Labor's solution to 'access to high quality and affordable financial advice':
* Further ISA carve outs where union funds can provide untrained scripted telemarketer 'advice' to members;
* ISA fund support via the performance test fiasco to bulk move members to their union funds; and
* Affordable advice for planner clients will entail a prescriptive restrictive cap/limit on fees we can charge.
The only sure thing is the union funds will get a carve out like usual, and Mr Jones solution will be getting advice from your super fund as long as it's one of his master's funds. There will be no relief to anyone else.
Every time Frydenberg, ODwyer & Hume said this stuff over the last 8 years it came out the complete opposite.
More Red Tape, more BS boxes to tick, more BS compliance at every turn.
One can only hope that Jones and ALP can’t stuff it up any more that the past LNP rabble.
But until we see the reality of improvement I will not hold my breath in hope.
Just so happy to see the end of Frydenberg and his hate of Advisers.
A client wants Super advice. Under special carve outs created in 2022/2023 your client can get advice for free, from their super fund, and it only takes a simple phone call and 20-30 minutes. Whilst you're same advice is a FSG, engagement letters, SoA, fee consents, etc etc etc $3,000 and 3 meetings taking up 4-6 hours with the client. Under FASEA you'll need to act in the best interest of the client and hence you'll need to tell them to ring their Super fund....simple Financial Planning Dead. ASIC has achieved it's end goal of clients getting non-product advice from Accountants and buying products from firms with deep compensation pockets. In the same way legislation created financial planning in the 1980's, legislation will kill it 40 years on.
Add new comment