Smarter Compliance. Compliance used to be a simple process of ‘box ticking’ and commercial obstructionism but now it’s expected to embrace ethics, efficiency and ‘culture’. As the compliance function broadens its focus ,and secures its footing as a practitioner of a strategic management discipline, Compliance Managers are being asked to define or articulate the rules and values against which their business will be assessed. The difficulty is that it’s extraordinarily difficult to assess culture. This article provides eight points that might suggest a good compliance culture.
Smarter Compliance. The Regulators’ focus on large institutions, and APRA’s self-assessment initiative, identified consistent deficiencies in the way Licensees respond to incidents, breaches and non-compliance. Consequence Management is not a complete solution (monitoring, supervision and remediation are equally important) but focusing on consequence management is an effective and efficient way to create and maintain a good corporate 'culture'. Properly applied, it may also spare you adverse publicity.
Smarter Compliance. Some advisers seem to fear the FASEA exam even more than the inevitable Zombie apocalypse. Their apprehension is understandable but only legitimate if they ignore their deep, practical understanding of the the financial services laws and the challenges of dealing with retail clients. Any adviser currently authorised by a responsible Licensee should have the the knowledge and the practical wisdom they need to satisfy FASEA. This article addresses advisers’ apprehension and provides some tips for managing it.
Smarter Compliance. We understand the apprehension felt by Responsible Managers, Directors and Line Managers. With all the usual disclaimers and qualifications, we offer this brief summary of our understanding of the obligations, risks and liabilities. We’d love to hear your views.
Smarter Compliance. Effective education and ongoing training is the bedrock of every profession. So how can an advice profession emerge from an industry that prefers validation and convenience over development, engagement and deliberate practice? In our view, it can’t. In this article, we explore Continuing Professional Development from a different perspective - the sustainability of advice businesses - and argue that FASEA are right to push for tailored, engaging and challenging CPD.
Smarter Compliance. In May 2019, APRA released an Information Paper reporting on the results of self-assessments performed by 36 financial institutions. Focusing on governance, accountability and culture, the responses indicated that CBA is not an outlier and that the issues that exposed them to public and regulatory criticism, are also present in their competitors and peers. Perhaps, the only differences are time and orders of magnitude. This article references the report and offers suggestions to those Licensees hoping to improve their culture, governance and compliance framework.
Smarter Compliance. ASIC’s report 615 “ASIC Enforcement Update July to December 2018” provides a snapshot of the prosecutions, bannings and investigations they undertook. It’s an impressive list but is, in our view, a low water-mark for 2019 activity. With increased funding, a bigger and better toolkit and a renewed willingness to act, ASIC seem to be better positioned to effectively, efficiently and consistently regulate the financial advice industry. Expect a king-tide of regulatory activity in 2019.
Smarter Compliance. Your client’s goals and objectives are the foundation on which great personal advice is built. Unfortunately, they are too often confused, used incorrectly or relegated in importance behind a client’s risk profile. This article explains the difference between Goals and Objectives and provides some simple tips to avoiding common failures.
Smarter Compliance. FASEA Code of Ethics is more a “set of principles and core values” than detailed rules, but it’s a principles based model that provides the parameters for ethical and professional conduct. It’s driven by admirable intent but the ambition and inchoate aspirations of the Code of Ethics threatens the sustainability of the profession it hopes to shape and confirm. This article ponders the inconsistency between the laws and the Code and highlights three ways that its more impractical provisions may affect the emerging advice profession.
Smarter compliance. Welcome to the April 2019 update. We have big news. The financial service industry is highly regulated and surprisingly dynamic. Thankfully, the team behind our industry-leading compliance platform ensures openAFSL evolves even quicker. Regulators know that there’s a serious gap between what the law requires and what most Licensees manage to do - openAFSL helps you bridge that gap at a reasonable cost.