Code submitted to Minister

The Code Working Group has submitted its draft code to the Commerce Minister - but the industry won't find out yet what it contains.

Wednesday, March 6th 2019, 11:00AM 2 Comments

Angus Dale-Jones

Group chairman Angus Dale-Jones said the draft was based on the assumption that the Financial Services Legislation Amendment Bill will be passed in its current form.

"We have signalled to the Minister that the draft code might need to be revised before its approval if any late changes are made to the bill," he said.

"Shortly, we will publish the consultation submissions we received. Once the legislation is finalised and the code approved, we will publish it together with an impact analysis and a summary of submissions."

From that point, there will be at least another nine months before it comes into force.

"Exact dates will be determined once the Financial Services Legislation Amendment Bill is passed and the code is approved. There will also be a further two-year transition period for existing advisers to work towards meeting the new competency standards set by the code."

Dale-Jones said the code would sit within a wider regulatory regime that would include statutory duties, disclosure requirements and licensing. These changes are being introduced through the Financial Services Legislation Amendment Bill.

"On behalf of the Code Working Group, I would like thank everyone for your input in helping to develop a code that will set the standards of conduct for those giving financial advice. A further update will be provided once the final code has been approved by the Minister."

Tags: Code Working Group Dale-Jones

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Comments from our readers

On 6 March 2019 at 11:44 am Murray Weatherston said:
So when exactly will the Code be published?

What are the reasons why it can't be published today, "subject to final acceptance/amendment by the Minister?"

On 6 March 2019 at 3:10 pm JPHale said:
Agree with Murray, the lack of transparency is creating commentary about what if's and it is also restricting advisers working through their planning and change management to meet the new requirements. While it will take 2 years to come into full force, many businesses need that 2 years to make the changes in both operations and people culture to meet the requirements too. While we like to think it is flick a switch, it is going to be a long way from that for many.

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