The Corporations Amendment (Streamlining Future of Financial Advice) Regulation 2014 was tabled in the Senate Thur 10.7.2014. This followed a vote in the Senate requiring the tabling of the Regulation. It is a disallowable instrument which the Senate can now vote on.
The Regulation was registered on 30 June 2014 to give effect to the Government’s proposed amendments to the FoFA legislation to implement its 2013 election commitments. The Regulation amends the Corporations Regulations 2001 to make a number of “interim” changes (applicable from 1 July 2014 until 31 December 2015) eg:
- remove the “catch-all” requirement (s 961B(2)(g)) from the current list of 7 steps in s 961B(2) of the Corporations Act that an advice provider can take to prove that they have complied with the best interests duty in s 961B(1);
- remove the requirement for fee disclosure statements (FDS) to be sent to pre-1 July 2013 clients;
- remove of the “opt-in” requirement;
- modify the best interests duty to better facilitate “scaled advice”.
[LTN 131, 10/7/14]