FAS

Treasury has been tasked with governing the conduct of professionals in the financial advice sector by establishing mandatory educational and training requirements, developing and setting an industry exam, as well as the formation of a code of ethics that all advisers will be required to adhere to. From 1 January 2022, the standard-setting function of FASEA moved to the responsible Minister and Treasury, and ASIC is responsible for administering the financial adviser exam.

The mandated CPD requirements came into effect on 1 January 2019.

Financial advisers are required to complete 40 hours of ‘qualifying CPD activities’ in each CPD year with a minimum requirement in the following areas:

• Technical Competence – 5 hours
• Client Care and Practice – 5 hours
• Regulatory Compliance and Consumer Protection – 5 hours
• Professionalism and Ethics – 9 hours
• General – no set minimum

Kaplan Professional is the leading provider in the provision of industry CPD. Our flagship online platform Ontrack provides organisations and individuals with the content, tracking, reporting and consultancy they need to manage and meet their CPD obligations.

The Financial Adviser Examination is a fundamental component of the education standards all financial advisers must pass to provide personal financial advice to clients.

Existing advisers must pass the exam before 1 January 2022. From 1 January 2019, new entrants to the industry must pass the exam after they’ve completed a FAS-approved degree and before commencing quarter 3 of their professional year.

The exam will test the practical application of advisers’ knowledge in the following competency areas:

• Financial Advice Regulatory and Legal Requirements
• Financial Advice Construction
• Applied Ethical and Professional Reasoning and Communication

The duration of the exam is 3.5 hours (including 15 minutes’ reading time) and consists of multiple-choice and written-response questions.

RG 146 may continue to apply to existing advisers until the new professional standards apply to them. Existing advisers should confirm these requirements with their licensee.

Individual who provides personal financial advice to clients:

• Registered on the FAR between 1 Jan 2016 and 1 Jan 2019
• Does not meet the ‘experienced adviser’ criteria

Individual who provides personal financial advice to clients, and

• Has 10 or more years’ cumulative experience in Australia between 1 Jan 2007 and 31 Dec 2021
• No disciplinary action recorded on the FAR before 31 Dec 2021
• Has passed the FAS exam

Individuals who are not existing or experienced advisers.

For new entrants, the minimum requirements are:

• Hold an approved bachelor’s degree (or equivalent)
• Undertake a professional year (PY)
• Pass the FAS exam prior to quarter 3 of the PY

Existing advisers who qualify for the 10-year experience pathway:

• Do not have any tertiary requirements
• Must have passed the FAS exam

For existing advisers who do not qualify for the 10-year experience pathway and are registered as current on the FAR between 1 Jan 2007 – 1 Jan 2019, the maximum education requirements are:

• An approved graduate diploma (AQF8) comprising eight subjects by 1 January 2026
  Passed the FAS exam by 1 Jan 2021

The minimum education requirements are:

• One bridging course about the Code of Ethics (if it was not included in their qualification)

Depending on their previous formal education or coursework for industry designations, may be required to complete anywhere between one or eight subjects (including up to three bridging courses) at AQF8:

• Financial Advice Regulatory and Legal Obligations
• Ethics for Professional Advisers
• Client and Consumer Behaviour, Engagement and Decision Making

We understand you may need help determining what subjects you need to complete to meet the education requirements. Our experienced and knowledgeable Course Advice team can help you navigate your next steps and answer any questions you may have. Call 1300 135 798 (option 2) or email courseadvice@kaplan.edu.au.

We’re committed to helping you prepare for the financial adviser exam. We have the most comprehensive and authentic exam preparation resources available in the industry, including the Kaplan Adviser Practice Exam (KAPE), complimentary question banks in Ontrack and FAS-approved bridging courses.

Click here for more information about KAPE and preparation resources. On this page, you can also arrange a personal consultation with our knowledgeable team who can offer support best suited to your needs.

The Financial Adviser Examination is a fundamental component of the education standards all financial advisers must pass to provide personal financial advice to clients. Existing advisers must pass the exam before 1 January 2022. From 1 January 2019, new entrants to the industry must pass the exam after they’ve completed a FAS-approved degree and before commencing quarter 3 of their professional year.

The exam will test the practical application of knowledge in the following competency areas:

• Financial Advice Regulatory and Legal Requirements
• Financial Advice Construction
• Applied Ethical and Professional Reasoning and Communication

The duration of the exam is 3.5 hours (including 15 minutes’ reading time) and consists of multiple-choice and written-response questions.

We’re committed to supporting you to achieve the  Financial Adviser Examination sooner rather than later. We have the most comprehensive and authentic exam preparation resources available in the industry, including the Kaplan Adviser Practice Exam (KAPE), complimentary question banks and world-class FAS-approved bridging courses.

We encourage anyone who is apprehensive or struggling with self-doubt about completing the Financial Adviser Examination to talk to us. We’ll work to personally tailor a comprehensive preparation solution that will equip you with the confidence you need to perform at your best when you sit the FAS exam. Please contact our knowledgeable Course Advice team on 1300 135 798 (option 2) for more information.