The Financial Services Council (FSC) has called on the Parliament to pass the Future of Financial Advice (FoFA) legislation now, and says it will not push for a delayed commencement date but expects a 12 month transition period.<\/p>\n
Speaking at an industry function in Sydney, FSC CEO, John Brogden<\/strong>, said that while the Council was still actively lobbying the Government on some key areas of reform, it was not trying to stop the legislation, or slow it\u00a0down, but did expect the Government to provide the industry with a 12 month grace period.<\/p>\n “The best guess is that the legislation will be through the Parliament in May, to commence on 1 July (2012). \u00a0It’s simply inconceivable that we could be ready in such a time. \u00a0So we take a view that (the Parliament should) pass the legislation now, but phase it in…<\/p>\n “Even if the systems changes were easy, which they’re not, just training a whole adviser workforce on how to implement Best Interest duty can’t be done in a matter of weeks. It’s a longer term thing.<\/p>\n “We’re at a point where we just want the legislation through, so we can start preparing for it to be implemented,” he added.<\/p>\n Mr Brogden said he was increasingly confident that the Government will allow a 12 month transition, in recognition of the significant investment and training required to implement the reforms.<\/p>\n “There are two approaches (to transition) that the Government is discussing with industry, quite openly. \u00a0The first is a hybrid solution: some starts in 2012, some starts in 2013.\u00a0 The other is starting everything in 2012, (with) the Government encouraging the industry to be early adopters, but then the drop dead implementation date is 2013.”<\/p>\n The FoFA Bills are currently before the Parliamentary Joint Committee for Corporations and Financial Services, which is due to deliver its report on 29 February. The Bills must then pass through the House of Representatives before moving to the Senate, where the Labor party does not hold a majority.<\/p>\n","protected":false},"excerpt":{"rendered":" The Financial Services Council (FSC) has called on the Parliament to pass the Future of Financial Advice (FoFA) legislation now, and says it will not push for a delayed commencement date but expects a 12 month transition period.<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[282,8],"tags":[],"class_list":{"0":"post-14257","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-associations","7":"category-compliance-regulation"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/14257","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=14257"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/14257\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=14257"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=14257"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=14257"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}