FASEA locks in CPD arrangements with some accommodations
The Financial Adviser Standards and Ethics Authority (FASEA has confirmed the detail around its Continuing Professional Development (CPD) standard including nine hours four the professionalism and ethics category.
The authority announced today it had registered the Legislative Instrument and Explanatory Statement for its Continuing Professional Development Standard on the Federal Register of Legislation which had been informed through consultation with stakeholders in July and August 2018 and through 24 formal submissions during FASEA’s consultation process in November.
It noted that, under the standard, advisers are required to complete 40 hours of CPD each year of which 70 per cent will need to be approved by the licensee (including a maximum 4 hours of professional reading).
The FASEA announcement said the minimum hours per CPD category were technical (5 hours), client care and practice (5 hours), regulatory compliance and consumer protection (5 hours) and professionalism and ethics (9 hours).
It said the balance of 16 hours would consist of qualifying CPD and was available to allocate to areas of advisers’ greatest need which might include, for example, technical competence or industry specialisation
FASEA acknowledged that stakeholder feedback during the consultation had raised a number of suggestions which FASEA had adopted in the final Legislative Instrument including:
– a transition period to 31 March 2019 for documentation of CPD Policies and Plans;
– an increase in the number of formal study hours that may count towards CPD from 25 to 30 hours;
– Part timers with licensees prior written consent being entitled to a 10% reduction to 36 hours required CPD while still being required to cover minimum knowledge areas;
– recognition that CPD may cover more than one knowledge area and may count across multiple CPD areas as long as there is no double counting of hours; and
– licensees being able to maintain CPD records on behalf of their advisers.
Recommended for you
A NSW adviser who advised over 120 clients after falsifying her financial advice exam results been permanently banned by ASIC.
ASIC has released the results from the latest financial adviser exam, the first to be run since changes to its structure earlier this year.
Sharing his reasoning in joining the FSC board, WT Financial managing director, Keith Cullen, believes “product and advice cannot be separated” from each other in the current environment.
The Emerge Foundation, a charity run by financial advisers and fund managers, has announced a scholarship program to help veterans transition into tertiary education.
