Reflections on BEAR-4Reflections on BEAR! What have we learned from banking accountability?

Posted by Kylie Ashton on May 18, 2021 9:16:43 AM

The rewards of embracing the BEAR seem to have well out-weighed the negatives in Australia’s banking sector.

As APRA-regulated organisations brace for yet another major regulatory change, this time in the form of the Financial Accountability Regime (FAR), we take a look at its predecessor to find out what lessons can be taken into the future of financial services.


 

FAR OUTFAR-out! Preparing for the new accountability regime

Posted by Kylie Ashton on Apr 20, 2021 9:36:31 AM

With all the regulatory change passing across RMs desks over the past 3 months, it’s probably not surprising that little attention has been paid to the Financial Accountability Regime (FAR). After all, the details have yet to be finalised.

There’s no legislation, no regulations, not even a confirmed start date! However, savvy RMs are preparing the foundations now, to ensure their organisations are ready for the inevitable.

Here’s what you need to know about the not-so-far-away FAR.


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3 steps insight tile Three steps to compliance heaven

Posted by Anne Wilkinson on Mar 30, 2021 5:20:37 PM

With the constant barrage of regulatory change, the role of the compliance professional is increasingly demanding. Check out our three steps to help lighten the load.

Step 1 – Leading from the front, Step 2 – Embedding compliance in your culture and Step 3 – Smart systems to support your vision


 

AFSL legislation_what you need to know_insight tileAFSL legislation updates & what you need to know

Posted by Anne Wilkinson on Mar 19, 2021 12:12:27 PM

While many of us were counting down the days to the end of an unprecedented year, December 2020 represented a busy time in Parliament; legislation implementing some of the key recommendations from the Financial Services Royal Commission was introduced (and has now passed). We look at the key regulatory items contained within the government’s latest financial services reform bills and what your organisation needs to do to prepare.


 

Are you DDO ready?Design and distribution obligations De-mystified!

Posted by Kate Whiteley on Mar 18, 2021 7:17:56 AM

Financial services in Australia must adjust to the introduction of design and distribution obligations. With the countdown clock ticking down fast, read our take on the key aspects

The DDO will now be in effect from 5 October 2021.

  


 

Risking the crownRisking the Crown

Posted by Kate Whiteley on Feb 26, 2021 2:16:20 PM

One of the emerging compliance challenges faced by Australia’s financial institutions is managing non-financial risk. But grappling with the amorphous ideas of ‘culture’ and ‘responsibility’ can be difficult for organisations more accustomed to tangible measures like profit and loss. What’s the big deal anyway? If non-financial risks are those that exist outside the business’ core revenue-generating activities, why should management care?


 

The case for limited scope insurance adviceThe case for limited scope insurance advice

Posted by Anne Wilkinson on Feb 4, 2021 10:50:09 AM

There is little argument that consumers who receive high quality, professional financial advice feel more confident about their financial position. But achieving the balance between professionalism and access to advice is tricky, and there are many in the industry who believe the current regulatory framework has made advice more expensive, putting it out of the reach of many consumers. This is particularly the case when it comes to insurance advice.


 

Responsible managers – a first line of defence worth investing inResponsible managers – a first line of defence worth investing in

Posted by Kate Whiteley on Feb 2, 2021 3:35:34 PM

What makes an RM, an RM? Hint...it’s not just the title. Far from the sometime treatment as a ‘tacked-on’ role, responsible managers as a first line of defence are worth investing in.

 

 


 

CreditCredit legislation updates coming in 2021

Posted by Anne Wilkinson on Nov 27, 2020 12:51:36 PM

Park responsible lending! There are some big compliance changes heading the way of brokers that are already locked in. In this article, we look at the key regulatory items contained within the government’s latest financial services reform bill.

 


 

Insurance on the HorizonInsurance Regulatory Changes on the Horizon

Posted by Anne Wilkinson on Nov 13, 2020 2:16:44 PM

Over the next 12 months, members of the insurance industry will experience a large volume of regulatory change, riding off the back of the Royal Commission into Financial Services. Here are some of the key areas to be aware of. 

 

 


 

Braving the AML storm swirling on the horizon_insight tileBraving the AML storm swirling on the horizon

Posted by Belinda Brown on Sep 11, 2020 10:38:11 AM

There is a perfect storm swirling on the horizon, and the right response is to plan to build a windmill not a wall. Some institutions will need to transform their thinking to develop appropriately oriented AML/CTF mindsets. 

The current climate is ripe for compliance with AML/CTF rules to be approached from a new perspective. Too often, implementation and accountability rests with IT departments that generally get treated merely as a cost centre. Few organisations value and engage IT as a project partner capable and worthy of strategic input into revenue-generating activities.


 

Best Interest Duty 101Best Interests Duty 101

Posted by Therese O'Neill on Aug 12, 2020 5:16:46 PM

Three letters currently loom large of the credit industry: BID. Best. Interests. Duty. And while ASIC may have granted a temporary reprieve due to the Covid-19 pandemic, from 1 January 2021, all brokers will be expected to comply with this new customer-protection measure.

We break down the basics of the best interests duty and how you can demonstrate your compliance.


 

Can Ethics be taught?How do you solve a problem like ethical misconduct?

Posted by Kate Whiteley on Aug 7, 2020 1:55:32 PM

You’d be hard pressed to find anyone who would argue that the increased focus on ethics and professionalism in financial services is a bad thing.

But, can ethics be taught? And if so, is teaching ethics enough to protect consumers?

 


 

What the Simpsons Can Teach Us About Organisational Culture._Insight tilesWhat the Simpsons Can Teach Us About Organisational Culture

Posted by Kate Whiteley on Jul 22, 2020 3:51:16 PM

What is organisational culture and why is it important? Turns out the answers lie within an animated TV show!

Much like the escalator to nowhere, an organisation in which no-one takes ownership or accountability for their decisions will become a place of continuous escalation. Until, ultimately, something (or someone) falls off the edge. 


The secret of credit CPD successThe secret to credit CPD success

Posted by Kate Whiteley on Jul 20, 2020 2:25:00 PM

CPD that inspire learners to reflect and think critically can build a culture of continual improvement, drive innovation, deliver best outcomes for clients and set organisations apart.
 

Whistling While You WorkWhistling While You Work

Posted by Anne Wilkinson on Apr 29, 2020 1:49:56 PM

Snow White, she of seven dwarves fame, believed that whistling while you work was a sure-fire way to make your chores go faster. But can the same be said for whistleblowing?

If you call out bad behaviour, do you also have to call time on your career?

Or can you actually whistleblow while you work?

 

 


 

Episode 2 - The responsibility awakens_insight tilev2The rise of the responsible manager - Episode 2 Responsibility awakens...

Posted by Kate Whiteley on Apr 22, 2020 4:07:58 PM

Whether it’s an ancient fable, a swashbuckling western, or a modern adventure, the key ingredients are a principled but unassuming hero who finds the strength to step up mixed with the motley crew of followers who put their differences aside to support them all the way.

What path do your Responsible Managers follow to secure victory for your organisation?

 

rise of responsible managerThe rise of the responsible manager

Posted by Kate Whiteley on Feb 5, 2020 12:11:53 PM

Welcome to the age when strong compliance and practical risk management secures victory for licensees. And with it will rise a new hope – the responsible manager.

Not that long ago, in a galaxy not so far away, some unscrupulous financial services businesses put profits before people. But times have changed. The Royal Commission struck back, dodgy practices were exposed and now an era of new hope has begun. An age in which strong compliance and practical risk management will secure victory for licensees. And with it will rise a new leader – the responsible manager.


 

Something’s missing in Mortgage CPD-1

Something’s missing in Mortgage CPD?

Posted by Kate Whiteley on Nov 12, 2019 3:25:00 PM

Are you really complying with your ACL CPD obligations? ASIC's RG206 is more prescriptive and expansive than you think...

ASIC is quite clear – in fact prescriptive – in identifying and mandating the scope of credit CPD in RG 206 Credit licensing - Competence and training:

 


 

Hello compliance, my new friend

Posted by Kate Whiteley on October 28, 2019 12:15:00 PM

Compliance is not a role for the quiet ones.

Quite often it’s perceived as a separate function that needs to be deferred to from time to time. On other occasions, it’s considered an unfortunate but necessary intrusion into day-to-day activity. In a climate of regulatory change, the Royal Commission, and customers generally scrutinising every company they deal with, the importance of compliance cannot be underestimated.


 

Nobody puts RG146 in the cornerNobody puts RG146 in the corner

Posted by Belinda Brown on Sep 11, 2019 10:35:57 AM

The word on the street is that the RG146 training standard won’t undergo wholesale changes anytime soon. Indications from ASIC are that they will look to revise general advice warning requirements and join calls for general advice to be renamed first.  While ASIC research demonstrates the confusion the term “general advice” causes among consumers, there is little evidence, in fact, of any widespread conduct issues attributable to the training standards in RG146.


 

Hiking the AFSL trail  Hiking the AFSL Trail 

Posted by Kate Whiteley on Sep 5, 2019 5:26:13 PM

ASIC is scrutinising AFS licence applications very closely – one slip and all your hard work is undone; your application is rejected and suddenly you find yourself back at square one. In this article, we share some tips for staying on track and getting through the application process in one piece.

 

 


 

Keeping the Pace Responsible LendingKeeping pace with Responsible Lending

Posted by Kate Whiteley on Aug 20, 2019 1:45:45 PM

With Treasury and ASIC working fast to revise responsible lending and introduce a best interests duty, credit providers will need to keep up with the accelerating pace of change or risk being left behind.

 

 


 

Should I Stay or Should I go Part 2Should I Stay or Should I Go? (Part 2) Five top reasons to self-license

  • Posted by Anne Wilkinson on Aug 13, 2019 12:30:20 PM
  • Financial planning businesses are evolving, as new licensing models emerge. In this two-part blog series, we examine the pros and cons of the AFSL market. Part two of our look at financial planning licenses takes you through our top five reasons to self-license.



Consumer Data RightConsumer Data Right – the floodgates have opened

Posted by Kate Whiteley on Aug 8, 2019 3:13:42 PM

A new era in data accessibility has begun, triggered by the passing of the Consumer Data Right (CDR) Bill on 1 August this year. But what sparked the development of the CDR and how is the banking sector expected to manage this new commodity?

 


 

The top 5 reasons to stay with your licenseeShould I Stay or Should I Go? (Part 1) The top 5 reasons to stay with your licensee

Posted by Anne Wilkinson on Aug 6, 2019 4:31:21 PM

Financial planning businesses are evolving, as new licensing models emerge. In this two-part blog series, we examine the pros and cons of the AFSL market, starting with the top five reasons to stick to the traditional licensee approach.

 


 

“Dont worry, the expectations are the same  as ever ... only completely different.”The ‘Not Unsuitable’ vs the ‘Customer First Duty’

Posted by Therese O'Neill on Jul 30, 2019 9:29:53 AM

You’ve probably heard about the ‘Customer First Duty’, which is intended to replace today’s ‘Not Unsuitable’ test and improve customer outcomes. Here’s what you (and your clients) can expect when the new measure comes into play…

"“Dont worry, the expectations are the same as ever ... only completely different.”

 


 

How to have that conversation with our over-spending clients (Part 3 The hard truth vlog series)Part 3 How to have that conversation with our over-spending clients (The hard truth vlog series)

Posted by Therese O'Neill on Jul 25, 2019 11:20:05 AM

No-one likes being at risk of rejection in life, including the prospect of having a loan application declined. And the situation can be unpleasant on the other side too, for the mortgage broker having to broach the subject!

In part 3 of our 3-part vlog series, mortgage industry adviser Therese O’Neill shares 4 avenues for helping clients get their finances in order and increase their chances of application success – solutions that can turn awkwardness into smiling faces all around.

 


 

Getting living expenses right - 5 top tips (Part 2 The hard truth vlog series)Part 2 Getting living expenses right - 5 top tips (The hard truth vlog series)

Posted by Therese O'Neill on Jul 23, 2019 1:08:30 PM

Explaining to your clients how living expenses scrutiny has become sharper in a post Royal Commission world can be a danger zone.

In part 2 of our 3-part vlog series, mortgage industry adviser Therese O’Neill shares 5 areas to watch for so you and your clients can navigate this phase of the loan application process safely and smoothly.

 


 

Setting the scene, how living expense scrutiny has changed (vlog)_Part 1Part 1 Setting the scene, how living expense scrutiny has changed (The hard truth vlog series)

Posted by Therese O'Neill on Jul 22, 2019 9:23:16 AM

Hard truths can emerge during the tricky task of doing a proper review of a client’s living expenses. 

In part 1 of a 3-part vlog series, mortgage industry adviser Therese O’Neill examines two key focus areas for the expenses assessment phase, to help you survive regulator scrutiny and delight your clients.

 


Tips to de-risk your broking practice under new commission modelsSurfing the Clawback Cash Flow Wave | Tips to de-risk your broking practice under new commission models

Posted by Therese O'Neill on Jul 10, 2019 8:45:55 AM

Governments, regulators and lenders are always moving the flags. But by implementing some proven practice management techniques, you can keep your head above water and see you and your clients safely and delightfully riding every mortgage wave.

 


 

Why Australians need payday loans (and responsible lenders)Why Australians need payday loans (and responsible lenders)

Posted by Belinda Brown on Jul 5, 2019 4:24:05 PM

With meaningful dialogue and sensible reform, regulation of Australia’s payday lending sector can strike the right balance between facilitating access to credit while ensuring appropriate levels of consumer protection. 

 

 


 

How do you have that capacity conversation with your clients?

The hard truth! How do you have that capacity conversation with your clients?

Posted by Therese O'Neill on Jul 10 2019

A proper assessment of living expenses can be tricky and this can be a common cause of loan applications being rejected by lenders. Given that it’s important to get it right the first time, we present 5 living expenses assessment tips.

 

 


 

Unusual predictors of the state of the economyUnusual predictors of the state of the economy

Posted by The FEP team on Jun 12, 2019 12:38:51 PM

Hemline Index! Consumer Consumption Of Beer Index! CPI and interest rate trends are not the only predictors of economic activity according to markets folklore.  Do these indicators have predictive powers…

 

 


 

Overcoming the illusion of complyingOvercoming the illusion of complying

Posted by Kate Whiteley on Sep 4, 2018 10:43:05 AM

Why do we call it a cpd year when, in all honesty, almost everybody scrambles to complete in the last weeks before their enrolment expires?

This year, the theme in financial circles has been trust and confidence, including demonstrating ethical and professional conduct. Additionally, the looming final year of current adviser education standards has coincided with general discussion about the future of work in an Industry 4.0 world.