In a joint submission released yesterday on ASIC Consultation Paper 212: Licensing: Training of financial product advisers – Updates to RG 146, the Industry Superannuation Network (ISN) and the Australian Institute of Superannuation Trustees (AIST) broadly backed the regulator’s proposals.
“AIST and ISN are supportive of the proposal to increase the minimum requirement for personal advice providers to a bachelor’s degree qualification,” said the submission.
But the lobby groups rejected the proposal that providers of general advice also be required to have a bachelor-level degree.
“We believe that the current minimum requirements for general advice providers are sufficient and have seen no evidence that higher levels of qualification are necessary,” said the submission.
Any increase in the minimum requirements for general advice staff would be likely to affect the capacity of superannuation funds and other providers to offer the service, said the lobby groups.
“We would propose that ASIC devises minimum requirements which distinguish between general and personal advice providers,” said the submission.
The AIST and the ISN also argued that the new regime should not be implemented via a ‘two step’ transition because it would be “very disrupting and there would be significant commercial barriers to providers delivering on time”.
Education providers would also be reluctant to develop a course that only had a two-year shelf life, said the submission.
But the AIST and the ISN supported the creation of a new specialist knowledge section when it comes to self-managed superannuation funds.
