FPA and AFA agree to explore merger proposal

FPA and AFA agree to explore merger proposal


The Financial Planning Association of Australia (FPA) and the Association of Financial Advisers (AFA) have agreed in principle to explore a merger between the two associations, with a goal of creating a united voice for the financial advice profession.

The boards of the two associations have signed a Memorandum of Understanding and will seek feedback from their members before inviting them to vote on the proposal.

After the period of consultation, it is expected that members of both associations will vote on the proposal by the end of this calendar year.

The FPA and AFA boards believe there are substantial synergies and other benefits for their respective members from a merger, providing a united voice and stronger advocacy for financial planners and advisers.

David Sharpe, chair of the FPA, says that in recent years, the AFA and FPA have worked closely together in advocacy, often making joint submissions on policy.

“Effective advocacy is consistently the number one priority for members of both associations and a merger of the FPA and AFA would create a single association which would
speak for the profession.

“By creating a unified voice, the merged association would add clarity and power to the positions it takes and avoid duplication of activity and erosion of its messages. It also
increases the likelihood of achieving crucial advocacy positions,” he said.

Sam Perera, National President of the AFA, says any merged association would honour the heritage of both the FPA and AFA, in particular recognising the AFA’s 76-year history.

“The AFA has a strong background in representing members from diverse groups and this would continue within any new association. The Memorandum of Understanding aims to safeguard the interests of members and includes the AFA nominating four directors on the transitional 12 person board.”

The FPA and AFA boards have proposed that the CFP designation be the primary designation of the merged association. The Fellow Chartered Financial Practitioner (FChFP) and the Chartered Life Practitioner (ChLP) designations previously offered by the AFA would continue to be recognised and supported (although not available to new applicants).

Members of each association will be invited to webinars in the coming days to hear more about the proposal, ask questions and provide feedback on the proposal. In addition, FPA members will be able to attend the AFA Conference on 21-23 September at member rates, and AFA members can attend the November FPA Congress at member rates. A joint session of the AFA and FPA will be held at the AFA Conference.

About the AFA
The Association of Financial Advisers Limited (AFA) has been the authentic voice on the value of financial advice for over 75 years. Today, the AFA is a vibrant, innovative association, where the underlying driver of policy is the belief that great advice transforms lives. To this end the AFA is striving to achieve the vision of Great Advice for More Australians. The AFA’s ongoing relevance as a professional association is derived from its success in engaging with the major stakeholders in financial advice including advisers, consumers, licensees, product and service providers, and the regulator and government. Culturally the AFA believes in the value of collaboration to create powerful outcomes and this drives how we achieve influence and work towards our vision.

About the FPA
As Australia’s leading professional association for the financial planning profession, the Financial Planning Association of Australia (FPA) represents the interests of the public and over 12,000 members. The FPA is home to Australia’s 4,900 CFP® professionals and is the only certification body in Australia for the global CFP® designation. Our proactive efforts in policy, advocacy and government relations support our goal to create a thriving financial planning profession and enable greater access to financial advice for all Australians. For more information, visit: www.fpa.com.au

CFP®, CERTIFIED FINANCIAL PLANNER® and CFP Logo® are certification marks owned outside the US by the Financial Planning Standards Board Ltd (FPSB). Financial Planning Association of Australia Limited is the marks licensing authority for the CFP® marks in Australia, through agreement with FPSB.