As the planner exodus continues, Professional Planner talks to Jeremy Wright, a 59-year old insurance adviser set to abandon his ASIC registration on January 1, 2021. “This is like a bloody communist state,” he says.
Without institutional support, advisers question whether FASEA’s professional year is really fit for purpose and if tweaks to the way it’s structured are required to fill the industry’s much-needed pipeline for new talent.
FASEA will have its functions spread across Treasury and a single disciplinary body sitting within ASIC, while – in a much-needed compliance win for advisers – annual fee renewals will be combined with financial disclosure statements in a single document.
A ‘very deliberate’ change in tone and a new format make the second version of the Code of Ethics’ guidance easier to understand, according to the FASEA CEO, who explains the major updates advisers need to be across and the authority’s plan for further releases.
On the same day ASIC’s top executives resigned over expenses scandals, a report was released highlighting that an uplift in ethical behaviour could save $45 billion and unravel some of the regulatory knots weighing industries like advice down.
Past the halfway point in its exam transition program, the authority’s CEO says its time to acknowledge what the uplift in professionalism means to consumers. “I had faith in the outcome of this,” Stephen Glenfield tells Professional Planner.
As the first to make it through FASEA’s 1600-hour training mandate for new advisers, Harry Baker represents a glimmer of hope for an industry that is desperate to attract a new generation of participants.
The industry must be fully on board with the clear intentions of the code. Instead of complaining about its 'uncertainties', practitioners should recognise that it is deliberately not a technically prescriptive compliance-style laundry list, Robert MC Brown writes.