Education standards for experienced financial advisers and technical fixes for new entrants

The government has released for consultation an exposure draft bill and explanatory memorandum to deliver the government’s election commitment to better recognise experienced financial advisers.

The draft legislation would deem an adviser to have met the education requirements if they:

• have 10 years (cumulative) experience providing advice between 1 January 2007 and 31 December 2021; and
• have not recorded any disciplinary action on the Financial Advisers Register before 31 December 2021.

Advisers would still need to pass the exam.

The draft legislation also allows new entrants to apply to the Minister to have their degree recognised and for education providers to confirm that a person has completed the requirements of an approved degree.

These amendments would address cases where would‑be advisers currently fail to meet the education standards for technical reasons.

We encourage all interested parties to provide feedback on the draft legislation.