The Profession of Independent Financial Advisers (PIFA) is estimating it will launch a Professional Standards Scheme (PSS) in June 2022, in an attempt to become the “only officially-recognised” financial planning professional standards body in Australia.
The PSS was a legal instrument that would oblige PIFA to monitor, enforce and improve the professional standards of its members.
Speaking to PIFA members, PIFA’s president, Daniel Brammall, said the organisation had taken on John Rappel, former director of professional standards from the Professional Standards Authority, as a consultant.
“What we’re looking at here is a professional standards scheme that has been in the making for several years,” Brammall said.
PIFA had meetings planned with the Professional Standards Councils (PSC) in December and February, which were necessary steps toward getting its approval, Brammall said.
“All of these require – lobbying is probably not the right word – forthright conversations with key people in key rooms of power to be able to convince them that PIFA is worth the bet,” he said.
“That we have the right culture, we have the right protocols, that members are all behind this concept and that we're doing this with our eyes open and all of the infrastructure in place.
“Not an easy job when you’re a tiny organisation and of course that is something that has been very key, PSC gave us that feedback more than once over the last couple of years.”
PIFA had about 70 member organisations.
Brammall said signing up to a PSS would reduce legal liability for a firm, increase availability of public indemnity insurance and would give recognition to a firm, converting into more competent clients.