If Financial Advisers are looking for a clear differentiation between the AIOFP and the FAAA, look no further than the attitude of the FAAA towards the EPP issue.
It should be noted that the AIOFP created and lobbied for the EPP Legislation with then Minister Jones, something we are very proud of and the current change lobbied for by the FAAA is against what Minister Jones wanted.
It is widely acknowledged that the current number of Financial Adviser practitioners who deal with clients on the ASIC register is around 11,500 of the 15,500 nominated. Considering there are around 5,500 Financial Advisers who have benefitted from the EPP and the average age of an AFSL owner is 59 years, why would you want to insist on a 10 year sunset clause for a large portion of the Profession who are approaching retirement?
Can’t they just retire in peace or stay in the profession to provide much needed experience to new entrants and look after long term clients who have become almost family if they want to?
This FAAA attitude is reminiscent of the FPA/AFA decision to support Kelly O’Dwyer and the FSC with LIF/FASEA/Grandfather revenue ban/compliance [‘horror’] legislation – see attached.
The FPA/AFA had an option in their Charter to act in the best interests of the PUBLIC/Consumers [and against Advisers] if they deem it necessary. That is precisely what they did with the ‘horror’ legislation, they worked against the Adviser Profession, their own Adviser members, supported the FSC and got it badly wrong.
The FAAA has adopted the same FPA/AFA Charter and can act like a consumers group if they see fit, it seems they are putting their consumer hat on with this EPP issue.
In contrast, the AIOFP Charter stipulates that we can only act in the best interests of our Adviser members who must then act in the best interests of consumers. This aligns the interests and avoids outside influences trying to engineer outcomes that suits their agenda, something the FSC are proven to be experts at.
We will be providing a suggested Submission to all EPP beneficiaries to lodge with Treasury to retain the intended legislative outcome – hopefully at least 5,500 submissions will assist the cause!
If you want a reminder of the circumstances, please view this summary –
https://www.clearview.com.au/adviser-insights/explainer-the-new-adviser-experience-pathway/
Regards.
Peter Johnston | Executive Director
Association of Independently Owned Financial Professionals
Suite 416, 480 Collins Street, Melbourne VIC 3000
P 1800 111 203, d 03 9863 7574, m 0418 857 621
www.aiofp.net.au | Download my business card
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