Nearly 6000 financial advisers are yet to be registered under a separate obligation with ASIC, putting them at risk of no longer being able to provide advice, the Financial Advice Association has warned.
The registration requirement, which has been delayed multiple times, is separate from the existing requirement for an AFSL to appoint a financial adviser that they authorise to ASIC’s Financial Adviser Register.
In a media release, the association said advisers who are not registered by the deadline of 1 February 2024 will not be able to legally provide financial advice.
All advisers who were registered with the Tax Practitioners Board as at 1 January 2022, and have not changed licensee since, are deemed to be registered. For all other advisers, their licensee needs to register them.
Advisers can check to see whether they are already registered by looking up their adviser record on the FAR.
There is a new field in the first section on “Registration status”. If this is showing as “Registered”, then there is nothing further required.
However, if it is showing as “Not Registered”, then it is essential that they immediately contact their licensee to confirm the process to complete registration. One new part of this registration process is the requirement for advisers to provide a declaration that they are a fit and proper person.
ASIC has issued Information Sheet 276 FAQs: Registration for relevant providers, which provides more background information on this obligation.