Financial advisers still have sufficient time to meet new academic qualification requirements but will need to engage in a disciplined approach to be able to study and work, according to Mentor Education.
Mentor Education Group founder and Managing Director Dr Mark Sinclair said that initial responses to incoming education requirements from older advisers was to consider them as “…a draconian impost on their time – or an affront to their professionalism and track record of exemplary and ethical provision of advice and client service”.
Sinclair said anxiety over the requirements was unwarranted and with more than six-years’ time available to advisers they could complete a bachelor degree by the 2024 deadline and maintain an advice business, instead of planning for their own retirement.
He outlined a timetable based on 12 units of study for a Master of Financial Planning, from the University of Notre Dame, for which most advisers will get four exemptions towards the qualification.
“…professional industry standards…herald the start of a new and exciting era for the advice sector”
With each unit taking 12 weeks, and advisers able to study each unit in succession, it was possible to complete four units in a year and the eight units required for most advisers within two years, Sinclair said, adding that advisers have six and a half years, until 2024, to complete their studies.
Additionally, advisers would add value to their practice by adding advice areas, would receive up to 50 CPD points per unit of study and be able to add the qualification of Master of Financial Planning after their name, Sinclair said.
“Although there continues to be small pockets of resistance and negativity to the academic and professional industry standards, the reality is they herald the start of a new and exciting era for the advice sector,” Sinclair said.
Good to be reading about solutions and benefits instead of excuses.
I’m all in favour of the new standards and increased professionalism for the industry, With forty years experience I have actively advocated for it. The reality for me however is that at my age, running my business and finding the study hours is more than just time. It is also having the energy to do so and as i do not plan to work forever, how can I justify the monetary cost of having to complete university education, as my time horizon is too limited to get a return on that investment. That is why rather than scaling back gradually with reduced work hours in the next five to ten years, I will exit before the deadline date. I’m not being negative about this, it is simply a matter of fact. I’ll miss the job satisfaction, but there are other things for me in life.
Same here “old fella” at 61 I don’t see me obtaining a University degree to look after my life clients after doing so for 41 years without one. Really its common sense and not that difficult if you stay on top of your product knowledge,current legislation and have ongoing constant contact with them. I still do not think a University degree is required for risk only advisers but I guess its a new process that may extend someone’s career beyond risk and into full financial Planning issues they may not have thought of when they first started.
Who know “funny things” happen every day and the future seems far from set.
Ken, Perfectly put and ‘Old Fella’ too. My thoughts exactly as you both. From time to time my comments here seem negative however I think you’ve summed up how I feel, better than I do sometimes, especially you Ken saying risk advisers see the new req’s as over the top for us. Not needed to help a client with IP, Term/Trauma. Further, we all have enough super knowledge and Kaplan time to know what to do with insurance in super so that’s enough for me. but unfortunately I too will pull the plug just prior to 2024. The ivory tower boffins may be dragging their tail by not giving the advisers fair info about what and when but at least we 3 know exactly the time frame for our retirement now. Where the client best interest is with forcing guys like us out prematurely is beyond me. A simple licence for risk advisers could fix this overnight. Too sensible for the pollies?
don’t agree with anyone here, after 30 years, its time to hang up the hat. The CFP was once enough and its been conflicting advice on whether it is? My care factor now has drained as we now see so many of our services curtailed by those who do not understand our varied roles. Rather than fight another day, its time to turn the lights out.
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