News

STILL TIME TO FIX ADVICE REFORMS SO “HOT MESS” DOESN’T TURN INTO DISASTER

The Joint Associations Working Group (JAWG) is calling on the Government to move swiftly to fix legislation introduced into the Parliament so that it doesn’t make advice more unaffordable and less accessible for consumers. Advice in Australia is unaffordable and inaccessible, with the cost of advice in Australia currently out of reach for many consumers, costing more than $5,000 in many cases. This is why JAWG supports the Government in its efforts to reform financial advice to benefit all Australians and welcomes a number of red tape reduction measures progressed by the Government as part of the Delivering Better Financial

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FAAA welcomes Delivering Better Financial Outcomes legislation, with one key concern

The FAAA is pleased to finally see the first instalment of the promised changes emanating from the 2022 Quality of Advice Review (QAR) tabled in the Parliament.  FAAA CEO Sarah Abood says, “It’s good to see that this legislation addresses a number of the concerns that we identified in the draft legislation released in November 2023. These include:  there is now the ability to mandate a standardised fee consent form,  there is specific recognition that fee consent can be provided electronically, and  flexibility to bring forward anniversary dates for client renewals has been added.  “However, we have a strong concern

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FAAA calls for retrospective impact of the CSLR on financial advisers to be urgently resolved

The Compensation Scheme of Last Resort (CSLR) has now publicly released estimates of what advisers will be expected to pay for the first full year of the operation of the scheme – which starts on 1 July 2024.  Financial advisers will be required to pay $18.5 million in total, with payment expected to be made in September 2024. There were 15,624 advisers registered as at the beginning of March and if split on this basis, the cost per adviser will be just under $1,200. FAAA CEO Sarah Abood has expressed deep concern and disappointment about the adviser cost. “The CSLR

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FAAA launches financial literacy workshop for high school students

The Financial Advice Association of Australia (FAAA) has launched a nationwide financial literacy program aimed at high-school students, developing a simple but informative workshop that will teach young Australians important lessons about money and good financial decision making.  Launching during Global Money Week (GMW), which runs from 18 – 24 March, the one-hour workshops will be delivered by FAAA members face to face in local high schools or community groups. The workshop will help students better grasp financial concepts with the aid of a presentation sharing simple financial concepts like the power of compound interest, setting financial goals and managing

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Strong progress regarding the tax deductibility of upfront advice fees can be further strengthened

The Financial Advice Association Australia (FAAA) says the ATO can build upon the progress made in its public release of revised tax deductibility guidance in December 2023 by further refining its position where advisers are providing advice to clients with pre-existing investments (to enable a broader set of scenarios where a deduction may be available). The call is part of the FAAA’s submission in response to Draft Taxation Determination TD 2023/D4, prepared jointly with Chartered Accountants ANZ, CPA Australia, and Institute of Public Accountants. The draft Determination released late last year outlined that upfront fees (if provided by a Qualified

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FAAA launches 2024 Roadshow series

Early bird tickets to the Financial Advice Association Australia’s 2024 roadshow series are now available. The event is taking place across Australia in April and May. The roadshows theme will focus on building efficiencies with presentations on: Building efficiencies for business improvement Showcasing best practice Ethical growth in business. There will also be updates from the FAAA board as well as FAAA CEO Sarah Abood, a policy and advocacy update from Phil Anderson (general manager of policy and advocacy), and an update from ASIC on some of the key legislative areas.  Up to 5 CPD hours are available to attendees.

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Culture & Communities Committee​ (CCC) changes

We are pleased to confirm some changes to the FAAA Culture & Communities Committee (CCC). We farewell Julian Place CFP® the inaugural CCC Chair and welcome new FAAA Board Director Sheila Cabacungan CFP® to the role. We thank Julian for leading the CCC during its formative period and helping to successfully bringing together the strengths of both legacy associations. Sydney Metro – Sheila has now stepped down from her previous role as Sydney Metro Chair, and we welcome Matthew Wallis and Shayne Sommer CFP® as co-chairs of the Sydney Metro Community. SA State – After leading the SA Chapter for a

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FAAA fully supports proposed changes to financial adviser exam

The Financial Advice Association Australia (FAAA) has backed the government’s proposed changes to the financial adviser exam, including making the exam completely multiple choice, removing restrictions on who can sit the exam, and allowing students to sit the exam at a stage that is suitable for them.  FAAA chief executive officer, Sarah Abood, said these changes will simplify and speed up the exam process, making it both more flexible and potentially much cheaper for candidates.   “The FAAA is in favour of wholly multiple-choice examinations. Moving to this format rapidly speeds up the process of marking the exams and ensures consistency

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FAAA outlines priorities and expectations for 2024

2024 will be a watershed year for financial advice in Australia, and the FAAA expects to see positive and beneficial change to the profession over the next 12 months, says Sarah Abood, CEO of the Financial Advice Association Australia (FAAA). “It is the year when clarity and certainty about the provision of financial advice should be delivered, both to financial advisers and to Australians who can benefit from their advice. “There has been a lot of discussion about what the future of financial advice should look like. It’s our hope and expectation that this will be the year that details

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FAAA hires new Head of Marketing and Communications

The Financial Advice Association Australia (FAAA) has appointed John Summerhays as Head of Marketing and Communications. Mr Summerhays has more 17 years of marketing experience in the financial services industry. From 2017 to 2023, Mr Summerhays worked for PageGroup’s marketing division, including three years as the head of marketing for Australia. Prior to PageGroup, Mr Summerhays was a part of BT Financial Group’s marketing team for 11 years, working across its suite of products and services, including financial advice, life insurance, superannuation, and private wealth. In the role, Mr Summerhays will lead the FAAA’s marketing and communications team to raise

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