Bill
Corporations Amendment (Professional Standards of Financial Advisers) Bill 2016
passed, as at 2017-02-22. Treasury portfolio.
- Sponsor
- Not recorded
- Portfolio
- Treasury
Recorded stages
- introduced — 2016-11-23
- second reading — 2016-11-23
- second reading — 2017-02-07
- second reading — 2017-02-07
- third reading — 2017-02-07
- introduced — 2017-02-08
- second reading — 2017-02-08
- second reading — 2017-02-09
- second reading — 2017-02-09
- third reading — 2017-02-09
- passed — 2017-02-09
- royal assent — 2017-02-22
Divisions
Plain-language summary
Written by a model from the explanatory memorandum; not the record, as at 2016-11-23.
The bill would set higher hurdles for the skills and honesty of financial advisers who give personal tips to everyday clients on complex products.
Advisers would need a university degree, a supervised work year, an exam, ongoing learning, and a binding ethics code, and only those authorised could call themselves financial advisers or planners.
The main rules start on the earlier of a day set by the government or six months after the bill becomes law, and the government estimates it would cost industry $165.1 million to comply.
- Requires advisers to hold a degree or equivalent qualification.
- Mandates a professional year, an exam, and ongoing professional development.
- Introduces a Code of Ethics that advisers must follow.
- Bans unqualified people from using the titles 'financial adviser' and 'financial planner'.
- Applies transitional arrangements for advisers already working before the new rules start.
Financial advisers who give personal advice to retail clients on complex financial products.
Sources
em
billhome
frl act