{"id":37692,"date":"2017-07-17T08:50:41","date_gmt":"2017-07-16T22:50:41","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=37692"},"modified":"2017-07-19T07:11:58","modified_gmt":"2017-07-18T21:11:58","slug":"advisers-and-licensees-to-pay-under-asic-funding-model","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2017\/07\/17\/advisers-and-licensees-to-pay-under-asic-funding-model\/","title":{"rendered":"Advisers and Licensees To Pay Under ASIC Funding Model"},"content":{"rendered":"

Smaller licensees are likely to feel the pinch under ASIC\u2019s new industry funding model after it announced that all licensees providing financial advice will be required to pay a $1500 levy alongside individual adviser levies.<\/p>\n

\"ASIC<\/a>
ASIC Chairman, Greg Medcraft<\/figcaption><\/figure>\n

In releasing the finalised version of its cost recovery framework, ASIC stated \u201c\u2026a fixed levy of $1,500 has been introduced for licensees authorised to provide advice on relevant products\u201d and \u201c…the graduated levy for these licensees is based on the number of advisers on the Financial Adviser Register (FAR)\u201d.<\/p>\n

ASIC has yet to release the current costs associated with regulating the financial advice sector but has stated in the past that costs will be around $22 million (see: ASIC Funding Arrangements Open for Industry Feedback<\/a>) and updated costs for the 2017-18 year will be released in October 2017.<\/p>\n

Based on this figure, and the 25,400 advisers on the FAR, costs per adviser would equal around $900 per year with advisers and licensees to receive their first invoices in January 2019 to recover costs for regulatory services for the 2017\u201318 financial year.<\/p>\n

ASIC Chair Greg Medcraft said the regulator was pleased to be able to confirm the framework which was created under legislation that came into effect on 1 July 2017 (see: ASIC Funding Model Passes Parliament<\/a>) after several rounds of consultation with the wider financial services sector.<\/p>\n

The AFA has expressed concerns about the costing of the recovery framework<\/a> and its impact on both advisers and their clients<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Smaller licensees are likely to feel the pinch under ASIC\u2019s new industry funding model after it announced that all licensees providing financial advice will be required to pay a $1500 levy alongside individual adviser levies.<\/p>\n","protected":false},"author":3,"featured_media":37754,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,6],"tags":[4247],"class_list":["post-37692","post","type-post","status-publish","format-standard","has-post-thumbnail","category-compliance-regulation","category-dealer-groups","tag-feature"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/37692","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\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=37692"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/37692\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/37754"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=37692"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=37692"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=37692"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}