Industry groups, regulators, insurers and politicians have welcomed the passing of the Bill which extends the deadlines for the FASEA exam and education standard after its challenging journey through the Senate and the House of Representatives. (See: FASEA Exam Extension Down to the Wire).
The passing of Treasury Laws Amendment (2019 Measures No. 3) Bill by both Houses last week enables the changes to the Corporations Act to provide:
- An extension of 12 months for the exam deadline from 1 January 2021 to 1 January 2022
- An extension of 24 months for the education standard from 1 January 2024 to 1 January 2026.
In warmly welcoming the passing of the Bill and thanking all those involved, AFA CEO Phil Kewin also outlined in a statement to members the “very challenging and frustrating process” as the matter was debated and voted on in the Senate three times and has been subject to much change and uncertainty.
[The delays were the result of unrelated amendments to the Bill.]
He says the ongoing uncertainty regarding the passing of this legislation, over a number of months, and the more recent complications with the passing of the Bill, has caused uncertainty and anxiety for advisers.
“The resolution of this Bill will now enable members to continue to focus on the immediate needs of their clients, who continue to face the economic impact of the Covid-19 crisis.”
He says the AFA, in conjunction with other industry bodies, has played an active role in both the initial advocacy for these deadline extensions, and the task of ensuring these changes became law.
Meanwhile the FPA CEO Dante De Gori says in a statement that the association welcomes this critical legislative milestone for financial planners.
He describes the passing of the Bill is a victory for members, noting that advocating for an extension of the FASEA deadlines has been a key priority for the FPA in recent months.
“This Bill is a lifeline for financial planners … and will grant them the necessary extension to complete new education requirements at a time when they are out in our communities providing advice to Australians during Covid-19.”
Senator Jane Hume, the Assistant Minister for Superannuation, Financial Services and Financial Technology, says the extension of the exam is particularly important to support working parents, including those taking parental leave during the transition period, by ensuring they have sufficient time to meet the education requirements, maintaining a diverse adviser industry.
In welcoming the passage of the Bill she notes that the Government recognises how valuable access to quality professional financial advice is, particularly during the Covid-19 crisis.
Richard Nunn, CEO of MetLife Australia says the insurer welcomes the news that Federal parliamentarians have listened to the adviser community about the challenges in meeting these timeframes.
FSC CEO Sally Loane says in a statement that the passage of legislation through the Senate is positive news for the financial advice profession and provides needed certainty for all advisers at an unprecedented time for the economy, particularly as demand for advice is surging as a result of the pandemic.
Meanwhile, FASEA CEO Stephen Glenfield also welcomes the certainty the extension of timeframes provides to existing advisers.
…THE strong performance of nearly 8,000 advisers who have sat the exam and received results to date, with … 86 percent successfully passing…
He says in a statement that FASEA notes the strong performance of nearly 8,000 advisers who have sat the exam and received results to date, with a majority of 86 percent successfully passing.
The authority says that an additional 2,250 advisers sat the exam over five days in June 2020 and will receive their results in July. More than 2,200 advisers have registered to sit the upcoming August exam, with registration open until 24 July 2020.
Glenfield also states that it’s encouraging that there are many advisers who have started their education requirements with nearly 3,000 advisers enrolled in bridging courses and more than 6,500 individual bachelor or higher degree subjects being undertaken by existing advisers.
