First tranche of FOFA reforms underway

Explore:  Australia FOFA Reforms

A number of the government’s FOFA reforms commenced on 1 July 2014 by way of the Corporations Amendment (Streamlining Future of Financial Advice) Regulation. These changes include:

- Removal of ‘opt-in’ requirements
- Removal of the catch-all provision of the best interest duty
- Increased options to provide scaled advice
- Removal of the requirement for fee-disclosure statement to pre-1 July 2013 clients.

The government will seek to introduce the balance of the proposed reforms to FOFA by way of a mix of regulations and amendments to the Corporations Act. For more details see the Acting Assistant Treasurer’s statement.

With the changes in the Senate from 1 July 2014, and public statements from various parties as to their position on the FOFA reforms, the path of the FOFA reforms may not be smooth.

For details of the amending regulation please click here.

Written by:

Published In:

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© DLA Piper | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.