How to become a financial planner (RG 146 - formerly PS146)
Financial planning is a highly regulated industry, particularly when it comes to providing financial advice to the public. For those offering advice that could influence a client's decision to purchase a financial product, you must meet minimum training requirements and be licensed by the Australian Securities and Investments Commission (ASIC).
Licensed refers to Australian Financial Services Licence (AFSL) holders and representatives or authorised representatives of licence holders. Generally, most people entering the industry will initially be an authorised representative of a licence holder.
Essentially there are two main steps to become a financial planner:
Meet the RG 146 Training Standards ASIC has introduced minimum training requirements that all authorised representatives must meet if they want to provide financial product advice. This is detailed in ASIC's Regulatory Guide 146 (RG 146).
CPA Australia offers RG 146 training via the RG 146 Compliance Solution
Select a licence holder As an authorised representative, the licence holder is ultimately responsible for the advice given and therefore, must ensure that its representatives meet certain compliance and training requirements.
Licence holders should also ensure that authorised representatives are supported to successfully provide a professional service to clients. If you plan to become an authorised representative, you must feel confident and comfortable with the licence holder you select.
