Quality of Advice Review Issues Paper

AFA News 31 March 2022.

On 25 March 2022, The Treasury issued a Quality of Advice Review (QAR) Issues Paper, that includes 83 questions that they are seeking feedback on.  This is the first important step in the QAR process and the chance for the advice profession to provide feedback on what needs to change.

The Issues paper addresses a broad range of topics, including:

  • Types of Advice
  • Best Interests and Related Obligations
  • Conflicted Remuneration
  • Charging Arrangements
  • Disclosure Documents
  • Accountants Providing Financial Advice
  • Consent Arrangements for Wholesale Client and Sophisticated Investor Classification

The QAR is a very good opportunity to address the issues with the advice process and to drive changes that will make financial advice more accessible and affordable.  We encourage members to read the Issues Paper and to respond.

Submissions are due by 3 June 2022.  The AFA will be working hard on our submission to address the 83 questions and to provide our thoughts on how the financial advice sector can be improved and the financial advice regulatory regime sensibly rationalised.  We welcome member input.

As we progress further with our thinking on the QAR, and in our preparation of a submission, we will seek to engage with members to get your input.  We welcome any thoughts on what the best solutions are.  We will work on the best ways to obtain member feedback.

We welcome the commencement of the Quality of Advice Review and have been fortunate to already have the chance over the course of the last week to meet with Michelle Levy, who is the person undertaking this review, and members of the QAR team.

Please click here for a copy of the QAR Issues Paper.

For any questions on the Quality of Advice Review, please email policy@afa.asn.au.

Issued 31.03.2022. AFA Policy & Education Update