The Financial Planning Association of Australia The Financial Planning Association of Australia

FPA welcomes Assistant Treasurer’s support of recommendations for the advice industry

The Financial Planning Association of Australia (FPA) has welcomed Assistant Treasurer Josh Frydenberg’s comments in today’s Australian Financial Review, which support the recent Parliamentary Joint Committee (PJC) Inquiry and FSI Report.

According to Mark Rantall, CEO of the FPA, it is encouraging for the financial planning profession as a whole that Mr Frydenberg is a clear supporter of lifting professional, ethical and education standards of financial planners in Australia.

“As we all know, last year was certainly a trying time for our profession. There was ongoing uncertainty and more than a fair share of turbulence. But from this has emerged great opportunity – to shape the future of financial planning and advance our journey towards becoming a respected profession.

“In order to do this, we need to come together as a profession but we also need to have government and regulation working towards the same goals to create real change and ensure that professional financial planners are recognised for the important community service they provide.”

Mr Rantall supported the directive from Mr Frydenberg that those in resistance to the proposed standards from the PJC and FSI Report keep ‘an open mind and recognise the need for change’.

“We need to be thinking about the long term and bigger picture. Our ultimate goal here is to ensure as financial planners, we belong to a trusted and revered profession which enables us to do our best work and for consumers to benefit from quality and trusted advice.

“We welcome the fact that today’s article and similar conversations in the public domain keep the spotlight firmly on education and professional standards – as it will be for some time. The Financial System Inquiry, Senate Inquiry into the Performance of ASIC and most recently the PJC Inquiry into education and professional standards, have widely supported the measures we called for in our submissions, and in the FPA 10 Point Plan – these measures are critical to building trust with consumers.

“The FPA is looking forward to working with all stakeholders, including Government and industry, to implement these important recommendations. We have long advocated on behalf of members that any reform should be fair and workable for financial planners. We also note the importance of keeping the interests of the consumers at the heart of these reforms.

“We echo Mr Frydenberg’s call to ‘capitalise on industry momentum and put in place an enduring co-regulatory framework” Mr Rantall said.