Prepared by Connor Rossi & Peter Hagias
FASEA have recently released their “standards summary,” which foreshadows upcoming legislative amendments to the CPD requirements for financial advisers. Of note is that the total CPD requirement will be set at 40 hours, 70% of which must be approved and recorded by the Licensee. Professional reading may qualify for up to 10% of the total CPD hours, with “formal education” comprising a maximum of 25 total hours.
Minimum hours for particular CPD categories have also been imposed, as follows:
- Technical (5 hours)
- Client Care and Practice (5 hours)
- Regulatory Compliance and Consumer Protection (5 hours)
- Professionalism and Ethics (9 hours)
- The balance of up to 40 hours constituting qualifying CPD.
FASEA are yet to publish what requirements or standards will apply to these categories.
Other requirements include Licensee’s having to publish their CPD policies, and that evidence collection and record keeping must be maintained for at least 7 years. Existing financial advisers will need to adopt these changes as of 1 January 2019, however 2019 pro-rated transition-based arrangements will be available for Licensee’s whose CPD is not aligned with the calendar year.
As always, if you have any questions don’t hesitate to get in touch!