Financial Standard Comments - ICAA questions AFSL system, calls for individual licensing The Institute of Chartered Accountants Australia (ICAA) has said that the current practice of individual financial advisers operating under the Australian Financial Services Licences (AFSLs) of institutions could result in a decline of competition and unsound financial advice for consumers. https://www.financialstandard.com.au/feed/latest?story=39070734 Tue, 01 Apr 2014 13:25:50 +1100 Tue, 01 Apr 2014 13:25:50 +1100 en-AU Copyright 2026 Financial Standard 5 Comment by Laurie Pennell (OzPlan Financial Services)

I must state upfront that I am an ICAA member. This proposal shows a complete lack of understanding by the ICAA of the compliance responsibilities of being licensed. This goes back to the days when I first became a Financial Planner in 1987 which everyone was effectively having their own licence but via a licensed dealer.

Who is going to be responsible for advice given if every adviser has their own licence? How is this to be covered from a Professional Indemnity Insurance perspective?
Last time I checked, Accountants are not licensed to practice as accountants. They are granted Practicing Certificates from their relevant accounting body. Is the ICAA saying that every accountant in a practice holds a Tax Agents regsitration? I know that is not correct.

Come down off your ivory towers and talk to those who are actually involved in the Financial Planning Profession.

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]]> Laurie Pennell (OzPlan Financial Services) Tue, 01 Apr 2014 13:25:50 +1100