How to Become a Financial Planner After the Policy Reform Take Effect in 2019?

The financial planning market has been chaos in Australia since 2018. Let’s have a look at some latest news.

• AMP announced in August 2019 to force one-third of its financial planners out of the business.
• IOOF has moved to shut down Elders financial advice venture.
• It has been anticipated that as much as 42% of registered financial planners will leave the industry by 2026, due to the new educational requirement.

What Are the Changes in the Financial Planning Industry in Australia?

According to the Professional standards for financial advisers reforms by ASIC, a new professional framework commenced on 1 January 2019, which sets minimum education, experience and ethical obligations for financial advisers.

To become a financial planner, you MUST:

• Hold an approved bachelor degree or higher.

FASEA has published a list of approved education providers, and you can download from their website.

• Complete a professional year of supervised experience.

The professional year must be equivalent to one year of supervised full-time work (1,600 hours) working with an AFS licensee and include 100 hours of structured training. During the year of work and training, you will be known as either a provisional financial adviser or a provisional financial planner.

• Pass a The Financial Adviser Standards and Ethics Authority (FASEA) exam

The exams will be computer-based and provide access to statutory materials and materials published by ASIC and other relevant regulators, as specified by FASEA. The exam will be three and a half hours, including at least 64 multiple choice questions and at least 6 writing questions.

What Should I Do if I Want to Enter the Financial Sector in Australia?

It is definitely not as easy as before to enter the financial industry in Australia. However, you still have a chance to stand out as long as you plan the career path well and take the right actions. You may have the following questions:

• My university is not on the approved list, can I still enter the financial industry?
• How to prepare FASEA exam?
• What other financial related roles that I can apply for, besides financial planner?
• Do I suit the financial industry?
• What does my career path look like as a new entrance to the financial sector?

We understand your struggle and concerns. You are welcome to attend our FREE career consultation to start your career!