Fewer than half of the advisers sitting the May Financial Adviser Exam passed, according to ASIC.
A statement from the regulator says that of the 496 advisers who sat the May exam, 212 or 42.7 percent, passed. It notes that some 72.2 percent of candidates were resitting the May exam for at least the second time.
This compares with only 32 percent of advisers who sat the February 2022 Financial Adviser Exam passing while results from the November 2021 exam saw 63 percent of candidates sitting the exam for the first time pass (compared with an average of 75 percent across all exams) and a total of 52 percent of all candidates passed that exam.
ASIC says that to date overall results show that 20,000 candidates have sat the exam and more than 91% have passed.
Of those who have passed:
- Over 15,600 are recorded as current financial advisers on ASIC’s FAR, representing 93% of current advisers on the FAR
- Over 2,400 are ceased advisers on the FAR and may be re-authorised in the future
- Over 600 were new to the industry
- Over 3,250 unsuccessful candidates have re-sat the exam, with 68% passing at a re-sit
ASIC says that for this exam cycle, as has been the practice for past exams, unsuccessful candidates will receive general feedback from ACER to highlight the curriculum areas where they have underperformed. Candidates can contact ACER at faexam@acer.org to request a re-mark of the written response questions. Requests for a re-mark must be submitted by Wednesday 22 June 2022.
July Exam Dates
The commission’s statement also includes the next exam sitting of 2022 which will be held from 28 July until 1 August 2022. Enrolments for the July sitting will be open from 20 June 2022 and close on 12 July 2022.
ASIC says that importantly, Sitting 18 “…is the last opportunity for financial advisers who are operating under the nine-month exam extension to pass the exam. From 1 October 2022, all financial advisers must have passed the exam to continue to provide personal advice.”
Exam Eligibility Numbers
The statement from ASIC also includes information if you are a new financial adviser or a foreign adviser.
It says that ASIC needs to assess your eligibility to sit the exam before you can book for an exam and that if ASIC determines that you are eligible you will be issued with an exam eligibility number which you must use to book for the exam.
“To make sure new financial advisers are issued an exam eligibility number in time to book for an exam, their AFS licensee should apply for an exam eligibility number through the ASIC Regulatory Portal no later than 15 days before the last day of the booking period for an exam. For Sitting 18 the deadline is Monday 27 June 2022.”
Foreign advisers can apply for an exam eligibility number by emailing ASIC at foreignexistingadvisers@asic.gov.au. Click here for eligibility to sit the exam and here for more details on how to enrol.
Updating the Financial Advisers Register
ASIC’s statement also notes that it is “…critical that the Financial Advisers Register is maintained to ensure that the public can reference accurate and up-to-date records when making decisions about whether to engage an adviser.”
“Under the Corporations Act 2001, AFS licensees are responsible for ensuring that details about their financial advisers on ASIC’s FAR are correct. This includes updating the status of financial advisers who have not passed the financial adviser exam by the required date to ‘ceased’.
