As an FPA member, you have signed up to a world-class Code of Professional Practice. In Australia, the FPA Code remains the only full suite of professional regulations, incorporating ethical principles, practice standards and conduct rules.
While the Code contains principles and standards that remain relevant and enduring over time, it also makes sense to evolve the Code to take into account the changing regulatory and external environment.
Prior to the launch of the updated FPA Code of Professional Practice, two new Practice Standards have been released as part of the Bulletproof Financial Planning initiative. These, in conjunction with the updated Code and FPA Code of Ethics, will assist FPA members to prioritise the client's interests over all other issues of conflict, which is the paramount professional duty.
The FPA proposal takes into account the four key elements of the FoFA reforms (Opt-in, Best Interests Duty, Scaled Advice and Conflicted Remuneration), as well as the recommendations contained in the ASIC consultation paper (RG183) released on 23 October 2012 on approving Codes of Conduct, in particular the requirements for class order relief from obviating the need to comply with opt-in.
In doing so, it is the FPA's absolute intention to ensure that our members are placed in the strongest possible position to benefit from regulatory reform and work to best practice professional standards both now and well into the future.
While this paper is specifically looking to test the ideas or theory behind the proposed changes, the FPA is also well underway in building a comprehensive practical toolkit to support members in transitioning to the post-FoFA landscape and apply in their everyday business the principles and standards in the Code of Professional Practice.
To start applying the Code of Professional Practice in your business, take the 2-hour introductory course on the Code. It is free for FPA members and you can earn 2 Ethics CPD points.
Join the conversation on the FPA members-only LinkedIn forum.
I thought being a member of FPA and adhering to code of ethics meant opt in was not necessary??Helen James - 8/04/2013 4:54:09 PM
Dear Stuart, Thank you for your comment on Opt-in. You are correct in saying that once the FPA Opt-in code is approved by ASIC, then FPA members will not be subject to the opt-in obligations of the Corporations Act. Kind Regards, Team FPAPaul Haddon - 10/05/2013 2:55:26 PM
Not sure if this is the right forum but I'm keen to find out what our obligations are in relation to the professional handover of a client from one adviser to another.