Consumer trust isn’t something to be taken for granted, but reports from the UK, US and here at home are all pointing towards an uplift in trust levels around financial advice, which can only be a welcome development.
There are significant tailwinds behind the financial advice industry at the moment, but some major obstacles are still preventing advice practices from taking advantage of surging demand according to a new study from CFS.
Associations called on to fill FSCP review body
After an incredibly busy few months for the financial advice industry, the regulatory structure and single disciplinary body is beginning to take shape. The passing of the Better Advice Bill finally disbanded the Financial Adviser Standards and Ethics Authority (FASEA), passing the torch to ASIC’s Financial Services and Credit Panel.
The FSCP will be tasked with assessing and ruling on adviser breaches, with the members to be made up of various industry representatives. In the year to 1 July the panel had shrunk from 18 members to 16, with those remaining being released from their roles ahead of a new application process.
The regulator has sought assistance from the professional adviser institutions, including the Financial Planning Association and SMSF Association, with the hope that both industry participants, consultants, consumer advocates and those from other professions will be involved.
With the panel set to commence its work from 1 January 2022, the roles will need to be filled within the next ten weeks. One of the biggest issues faced by the government is clearly finding those with real world advice experience but also who have the ability to commit sufficient time on a weekly or monthly basis to hear any cases.
According to the Department of Treasury, individuals are able to self nominate to join the FSCP’s group of potential members.
