A coalition of 11 financial services groups, collectively known as the Joint Associations Working Group (JAWG), has come out in support of the Government’s proposed education reforms for financial advisers.
“The current education standard is unnecessarily restrictive, creating barriers for both aspiring advisers and existing professionals,” said the group’s spokesperson, FAAA CEO Sarah Abood.
“The lack of recognition of completed qualifications such as accounting, business, commerce and economics has made it challenging to attract new entrants as they are currently required to incur significant additional costs and time to complete an approved financial planning degree.
“The numbers enrolling in approved degrees have been low, and six qualifying courses were discontinued last year for this reason. This has resulted in a collapsed pipeline for new talent.”
Abood said current education settings have contributed to a critical shortage of financial advisers, from a high of almost 29,000 at the start of 2019 to just over 15,000 today.
…women frequently prefer to see a female adviser…
“The benefits of reform mean candidates with highly suitable degrees from Australia’s top universities will be able to rely on subjects they have studied, or are currently studying, towards satisfying the standard,” said Abood.
“This will enable them to begin their professional year sooner, reducing costs and time.”
She added that the proposed changes ensure experienced professionals seeking a career change can use their existing degree.
“This is particularly important for female mid-career professionals,” she said. “With women making and inheriting wealth in increasing numbers and research showing that women frequently prefer to see a female adviser, the need to attract women to the profession is vital.”
See: All Change for Adviser Education
About JAWG
JAWG is a coalition of:
- Boutique Financial Planning Principals Association Inc
- Chartered Accountants Australia and New Zealand
- CFA Society Australia
- CPA Australia
- FAAA
- FSC
- Institute of Public Accountants
- Licensee Leadership Forum
- Self Managed Super Fund Association
- Stockbrokers and Investment Advisers Association
- The Advisers Association Ltd
