ASIC has issued a legislative instrument that gives Australian Financial Services (AFS) Licensees a longer time period to comply with new reporting requirements relating to FASEA-administrated obligations. It is important to note that advisers and licensees will still need to meet the underlying legislative obligations, the dispensation merely refers to licensees’ requirement to report them to ASIC.
Licensees have until November 15, 2019 to report on:
· Provisional relevant providers (i.e. new advisers in their professional year),
· The commencement of an adviser’s Continuing professional development year, and
· Existing advisers passing the required exam.
The requirements for licensees to report changes in the address and compliance schemes of relevant providers and non-providers to ASIC are also delayed until November 15, 2019.
ASIC does not need to ensure the details of any code of ethics breach is noted on the adviser register until January 1, 2020.
The legislative instrument also amends the definition of “existing provider” to exclude those who are subject to an enforceable undertaking that prevents them from providing financial product advice or financial services generally on January 1, 2019. Similar amendments apply to the definition of “previously banned or prohibited advisers”.
Anomalies in the wordings of the legislation as they related to exam and degree qualifications are also corrected.
The information contained in this publication is based on the understanding KeyInvest (ABN 74 087 649 474 AFSL No. 240667) has of the relevant Australian legislation as at the date shown in this publication.
The information contained in this publication is of a general nature only and is intended for use by financial advisers and other licensed professionals only. It must not be handed to clients for their keeping nor can any copies of sections of this publication be given to clients. KeyInvest is not a registered tax agent under the Tax Agent Services Act 2009. We recommend that your client be referred to their registered tax agent or legal adviser prior to implementing any recommendations that you may make based on the information contained in this publication.