Financial advisers who are not yet registered with ASIC have another two weeks to do so, with ASIC now confirming 16 February 2024 as the final date for registration.
However, the regulator says it will not provide any further extensions after this time and “…will focus on ensuring compliance with the registration regime and taking regulatory action where required.”
The commission says its records show that 4,036 (26%) financial advisers who provide personal advice to retail clients on relevant products were still not registered with ASIC, as at 9am on 18 January 2024.
Earlier in the week the FAAA had warned that almost 6,000 advisers were still to register putting them at risk of no longer being able to provide advice.
In a statement ASIC notes that given that the period for registration has coincided with the summer holiday period, it is providing AFS licensees an additional two weeks to register their relevant providers, extending the registration period from 1 February 2024 until 16 February 2024.
From then all relevant providers must be registered.
“This does not include provisional relevant providers. A relevant provider giving personal advice while unregistered will be in breach of a restricted civil penalty provision and the relevant provider’s authorising AFS licensee(s) will have committed an offence of strict liability and contravened a civil penalty provision.”
…a failure to comply could incur significant consequences for unregistered financial advisers who continue to provide personal advice and their authorising licensee…
ASIC Commissioner Alan Kirkland stressed the importance of meeting this obligation ahead of the new deadline, warning “…a failure to comply could incur significant consequences for unregistered financial advisers who continue to provide personal advice and their authorising AFS licensee.”
“The provision of personal advice by unregistered advisers is prohibited and carries significant penalties.”
He acknowledged those AFS licensees who, since late November, have registered their advisers ahead of the requirement commencing and urged AFS licensees “…that have not registered their advisers to do so as soon as possible.
Kirkland says that after the revised deadline has passed “…ASIC will begin a program to check compliance with this requirement and will take enforcement action where we identify advisers who have provided advice while unregistered.”
ASIC says AFS licensees should apply to register their Relevant Providers using ASIC Connect.
