
The Financial Planning Association (FPA) welcomes today’s announcement from the Commonwealth Bank of Australia (CBA) about measures to improve adviser education and training, increase transparency in adviser quality and support the FPA 10 Point Plan.
Mark Rantall, CEO of the FPA said, “We recognise the strong move the CBA has made in its Open Advice Review program. It demonstrates commitment to deliver a fair and consistent outcome for customers.”
“In particular we welcome CBA’s support of the FPA 10 Point Plan, specifically:
“CBA has listened to industry feedback and acted,” Mr Rantall said.
“When all financial advisers are members of a professional association, we are in a better position to build a self-regulatory model under which all planners act in accordance with both regulation and a fully enforceable professional code that commands conduct above legal requirements.
“We remain committed to seeing the term ‘financial planner’ and ‘financial adviser’ enshrined in law, to protect both financial planners and the clients they serve,” Mr Rantall added.
The FPA also welcomed the appointment of a highly credentialed Chairman of the Independent Review Panel, for the recently announced CBA Open Advice Review program.
Mr Rantall said, “We look forward to further announcements on the appointment of appropriately qualified independent industry experts and client advocates. The CBA compensation process is essential to restore public trust in the financial advice industry. It is vital clients receive full and fair compensation in a timely manner. We believe this first decision is a step in the right direction and look forward to further detail.”
The FPA continues to support a collective forum to develop a response to the 61 recommendations from the ASIC Senate Inquiry.