Slade Brockman (WA, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Superannuation, Financial Services and the Digital Economy, Senator Hume. The COVID-19 pandemic highlighted the importance of accessible, quality and professional financial advice. What has the Morrison government done to progress the professionalism of the finance advice industry and make high-quality advice accessible to Australian households?

Jane Hume (Victoria, Liberal Party, Minister for Superannuation, Financial Services and the Digital Economy) Share this | Link to this | Hansard source

I'd like to thank Senator Brockman for his question and for his enduring commitment to quality, accessible and affordable professional financial advice. This government has taken significant action to professionalise the financial advice industry. We've put in place renewed professional standards for those who work in the advice industry, including an exam, degree requirements, a code of ethics and continuing education requirements. These standards have helped ensure Australians can be confident that, when they need guidance on their personal finances, they are receiving high-quality and professional financial advice. I would like to congratulate the nearly 12,000 now financial advisers, stockbrokers, planners and people in the life insurance industry who have taken and already passed the financial adviser standards exam so far. The average pass rate for that exam is 90 per cent, and that's a testament to their hard work, to their skill, and to their dedication to the profession, as well as to their commitment to making high-quality financial advice available to every Australian household. Even over the summer break, a further 1,200 advisers sat the exam across 14 Australian cities and online. They are now awaiting those results, ready to demonstrate to their clients that they are the committed professionals that their clients expect.

I would like to encourage practising financial advisers, stockbrokers and insurance advisers who have not yet taken the exam or passed the exam to take advantage of the remaining sittings left in 2021 before the deadline ends at the end of this year. I ask you to work with us to make the Australian advice industry the best it can possibly be, because together we can achieve our goal of creating a world-class industry that offers affordable, accessible and high-quality financial advice for all Australians.

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Brockman, a supplementary question?

Slade Brockman (WA, Liberal Party) Share this | Link to this | Hansard source

How has the government supported the transition for the financial advice industry during COVID-19 to ensure that remote advisers, those with family commitments and those affected by COVID-19 can complete these requirements?

Jane Hume (Victoria, Liberal Party, Minister for Superannuation, Financial Services and the Digital Economy) Share this | Link to this | Hansard source

The Morrison government has extended the transition period, and advisers now have until January 2026 to complete the education requirements set before them. They also now have until the end of 2021 to pass the exam, but I remind them that, with time ticking, it's very important to note that there are only a further three opportunities to do so this year. We hope that all existing advisers will make the most of these very important opportunities. We have provided remote sitting options to assist advisers to sit the exam during the pandemic, and many have taken up that opportunity. The online exam can be taken at any time of the day or night, each and every day of the six-day sitting period, giving advisers the maximum flexibility to fit it around work and family commitments.

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Brockman, a final supplementary question?

Slade Brockman (WA, Liberal Party) Share this | Link to this | Hansard source

Can the minister outline further to the Senate how financial advisers can sit the exam?

Jane Hume (Victoria, Liberal Party, Minister for Superannuation, Financial Services and the Digital Economy) Share this | Link to this | Hansard source

The next exam sitting will be held between 25 and 30 March this year, including on weekends and with up to two in-person sittings each day. The exam can also be taken online or in person in 16 cities across Australia, both metropolitan and regional. The booking period for the March exam is currently open online. Preparation materials are available on the FASEA website and via private providers.

When my financial adviser—I won't name him, because he'll get embarrassed—received his results, he was so pleased he sent me a text message. Even for highly skilled and educated advisers, as he is—he already has a master's degree in finance—he knew that this was a new level of professionalism for him and for his firm.

I encourage all financial advisers who have not yet passed this exam to register for this sitting. With your help, we can make our financial planning, stockbroking and insurance advising industry the best in the world.

Simon Birmingham (SA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

Mr President, I ask that further questions be placed on the Notice Paper.