Education and professional standards requirements

The Corporations Amendment (Professional Standards of Financial Advisers) Bill 2016 establishes a new education and professional standards framework for the financial planning profession which includes many measures of which the FPA has long advocated:

• The term financial planner/adviser will be enshrined in law.
• An independent standards setting body will be established from 1 July 2017, to set the education standards, professional year framework and continuing professional development requirements, as well as developing a comprehensive code of ethics for financial planners.
• New financial planners from 1 January 2019 will require a degree, to undertake a professional year and pass an exam.
• All financial planners, both new and existing, will be required to undertake Continuing Professional Development (by 1 January 2019), be subject to a code of ethics (from 1 January 2020) and pass an exam (by 1 January 2021).
• Existing financial planners who need to undertake additional study to meet the new education requirements will have until 1 January 2024 to meet the new standard.

We will be working closely with the new independent standards setting body once it is appointed, to develop the next phase of the framework.

We will also be supporting members through the transitional period, and advocating that those who have obtained the CFP® designation have this recognised as an equivalent qualification.

Read the Minister’s media release

IMPORTANT LINKS

Corporations Amendment (Professional Standards of Financial Advisers) Bill 2016

Download the Regulations