Draft guidance on adviser education standards

Thursday 29 March 2018

The Financial Adviser Standards and Ethics Authority (FASEA), an industry body established to raise the education, training and ethical standards of financial advisers, has released draft guidance on education pathways for existing financial advisers to meet new qualification requirements that apply from 1 January 2024.

An existing financial adviser is an individual who, at any time between 1 January 2016 and 1 January 2019, is authorised to provide personal financial advice to retail clients in relation to financial products.

The draft guidance sets out five different education pathways for existing advisers, depending on the qualifications that the adviser already holds. Advisers that do not have a degree in a related field of study or other approved qualification will generally be required to complete a Graduate Diploma before 1 January 2024. Advisers that hold a degree in a related area of study or other approved qualification may be required to complete a bridging course, made up of between 1 and 3 subjects, depending on the qualifications held. A related area of study is considered to be a bachelor degree (or above) majoring/specialising in financial planning, law, accounting, economics, finance or tax. A national exam must also be passed by all advisers by 1 January 2021.

Advisers who are authorised to provide advice on or after 1 January 2019 are required to complete an approved bachelor degree.

Comments on the relevance and application of the draft guidance are due by 29 June 2018.

Further information

The Hon Kelly O’Dwyer MP, New Educational Standards for Financial Advisers Released for Comment (media release), 20 March 2018

Financial Adviser Standards and Ethics Authority, Proposed Guidance on Education Pathways for all Advisers, 20 March 2018

Find out how we can help

If you'd like to speak to a specialist about how we can help build your business, get in touch.