AFA welcomes enshrining the terms ‘financial adviser’ and ‘financial planner’
The Association of Financial Advisers (AFA) welcomes the passing in the House of Representatives yesterday of the Corporations Amendment (Simple Corporate Bonds and Other Measures) Bill 2013: Amendments relating to the use of the expressions financial planner and financial adviser (the Bill) which enshrine the terms ‘financial adviser’ and ‘financial planner’ in law.
The AFA welcomes the enshrinement of both of these terms as they have the same meaning and are used interchangeably within the industry.
“This piece of legislation has been reviewed by the Parliamentary Joint Committee on Corporations and Financial Services and they supported it,” said AFA CEO Brad Fox. “The AFA continues to believe that the legislation is good for both consumers of financial advice services and for the financial advisers who provide those services.”
Mr Fox said the Bill is an important step in creating consumer understanding of the role and responsibilities of a licensed provider of financial advice. “It will help consumers identify a trained, qualified provider from any other individual purporting to have this expertise,” he said.
Mr Fox said the AFA is pleased that the Bill has now passed the House of Representatives and will await the outcome from the Senate.
“July 1, 2013 marks the commencement of the Future of Financial Advice legislation, the MySuper legislation and potentially amendments to the Tax Agent Services Act, all of which will impact financial advisers,” he said. “The AFA will lead financial advisers and financial planners through what is the most significant period of regulatory change ever confronted by the industry, helping them to meet new challenges and embrace the changes.”
