Fast track your FASEA Exam Preparation

Financial Advice Regulatory and Legal Obligations

Incorporating Corporations Act – Chapter 7, Anti-Money Laundering (AML), Tax Agents Services Act (TASA)):

• Obligations under Chapter 7 (financial services and markets), Corporations Act 2001
• The Statement of Advice (SOA) and the essential requirements
• Implications of breaching the financial disclosure obligations
• Breaches and the notification obligations – when a breach has occurred and what you need to do
• The legal requirements for individual and licensee
• Anti-money laundering and the Counter-Terrorism Financing rules – the legal requirements when providing advice
• Privacy obligations under the Privacy Act when providing financial advice
• Compliance with the Tax Agents Services Act requirements as a registered Tax Adviser

Applied ethical and professional reasoning and communication

So, you think ethics is ‘soft’? We explore the  requirements under FASEA and the border line issues that will test your knowledge and compliance with the Code.

• The FASEA Code of conduct – what you are required to do and how you need to act?
• The Code of Ethics explored:
• The Code’s impact and importance for planners and advisers
• What the code means in real life client scenarios – dilemmas and issues
• Applying the Code and your professional standards
• Acting in the best interests of your client – what that really means
• Due diligence and your clients files and records – the essential internal processes to maintain compliance
• Putting ethics in practice

Financial Advice Construction

• Key steps in the advice process
• When are you giving advice?
• Fee disclosure and renewal requirements
• Identifying and aligning advice to different consumer groups
• Understanding the environment in which financial product advice is sought and given for new and existing clients
• Key documentation requirements
• Meeting your client best interest duty
• Preventing misconduct and inappropriate advice
• Evaluating and applying advice strategies for different retail clients 

Has it been a while since you sat an exam?

We recap the most effective ways to study to maximise your time and results. Beware the danger of thinking you can simply wing it because you work in this field - your ‘practical’ or common knowledge might not align with the theoretical knowledge required.

The FASEA exam

Existing advisers must pass the FASEA exam by 1 January 2022*. 

Exams will be marked to a credit level and the candidate will be awarded a “pass” or “fail” on this basis.

If you fail the exam, you need to wait 3 months before you can sit the exam again. Do not leave it until the last minute to sit the exam. If you have not passed the exam by 1 January 2022 you will not be able to continue to provide financial advice.

About the exam:

• 3.5 hour exam (including reading time)
• Practical application of adviser knowledge in the following competency areas:
• Financial adviser regulatory & legal obligations(Corporations Act chapter 7, anti-money laundering, Tax Agents Services Act)
• Financial advice construction- suitability of advice aligned to different consumer groups, incorporating consumer behaviour and decision making
• Applied ethical and professional reasoning and communication incorporating FASEA Code of Ethics and Code of Monitoring Bodies
• Limited open book (statutory materials only)
• The exam is at least 70 questions - At least 64 multiple choice questions and at least 6 written questions. 

*Treasury Laws Amendment (2019 Measures No.3) Bill 2019 , which received Royal Assent on 22 June 2020, provided an extension to the education requirements for financial advisers:

• Complete the FASEA-approved exam by 1 January 2022 (one additional year); and
• Meet FASEA's qualification requirements by 1 January 2026 (two additional years).

See: FASEA Final Financial Adviser Exam Legislative Instrument