Despite the challenges of recent years, looking ahead, FPA Chair Marisa Broome CFP® genuinely believes that through the work of the FPA and its members, there is a lot to be excited about.

The FPA will celebrate its 30th anniversary in November this year. When I reflect upon our history, I can see so much has evolved, but importantly, so much remains the same, too. The most significant thing that has remained constant is the life changing benefit our clients receive from the provision of appropriate financial advice.

We know that you, our members, aspire to be the best you can be – both as front line advice professionals and in supporting roles in the delivery of advice. Our long-standing members display a life-long commitment to this, and I am excited when I meet our newer members and hear what inspires them.

The professionalisation of financial planning plays a critical role in attracting new entrants. I am deeply concerned about the number of financial planners who have left our profession or plan to. Despite natural attrition, primarily due to retirement, it is concerning that many who are leaving are doing so because they are finding it just too hard to run a practice and deliver advice. However, through our persistent, united advocacy efforts with Government, we are being heard and we are now seeing some positive consultation to try to address many of these issues.

Adapt and grow

As a CERTIFIED FINANCIAL PLANNER^® professional owning an FPA Professional Practice, I have had to adapt and grow as a result of the changes to regulations and standards for more than 25 years. Certainly, not all the change have been good for me, my business, or my clients.

In fact, I believe for FPA members, the way the FASEA standards for professionalism were implemented, has watered down the high standards that FPA members already adhered to, well before these changes came into effect. This includes not sufficiently recognising the education, experience and long-term CPD that many of us hold.

The FPA is proud that we have had a code of ethics, CPD requirements and professional standards since inception. I am also excited about the work that is being undertaken by our Professional Standards team to update these and to develop support tools to ensure these are easier to adhere to.

These are not designed to make life as a financial planner harder, but rather to demonstrate how a code enhances the provision of advice, protects the consumer, elevates professionalism, and builds trust. This will be powerful in our discussions around the broader industry standards that are now under review.

Despite the challenges of recent years, I genuinely believe there is a lot to be hopeful about. We started the year with two fewer regulators and both major parties have released position papers opening up the conversation to review the implementation of the professional standards for advice and Treasury is now working through this. There is general recognition that many changes have gone too far and must be addressed. Importantly, there is also widespread recognition that financial planning is essential for the wellbeing of not just the individual client but the country.

The challenge acknowledged by all stakeholders is how we make advice both accessible and affordable. This will be addressed as part of the Quality Advice Review this year, where we hope there is a more positive approach to regulation of our sector. In the medium-term, the Australian Law Reform Commission (ALRC) Review of the Corporations Act has the opportunity to see advice for what it is – strategy and guidance, rather than only a product based solution.

A new era for the FPA

This year also represents a new era for the FPA, as we welcome our new CEO Sarah Abood. I have known Sarah for many years in her capacity as the CEO of an FPA Professional Practice.

The FPA Board undertook a thorough independent process to recruit our new CEO and I believe it was critical to find someone with Sarah’s broad skills. These skills, coupled with her deep understanding of how the business of financial planning works and her own personal experience as a client of a CFP^® professional, brings a perspective we haven’t had within the FPA leadership team before.

The appointment of Sarah does not change the strategic priorities of the Board, but rather enhances them. Members, Advocacy and Consumers (MAC) are the three pillars by which all FPA services and actions are developed and assessed.

At the beginning of my time as Chair, I asked the FPA team to critically review the services we offer against the MAC pillars to ensure each clearly delivers the value that you need and want in your membership. I am excited to announce the upcoming renewals period for 2022/23 will see us launch a whole, new-look FPA membership offering and member experience. I thank the team, led by FPA Deputy Chair David Sharpe CFP^®, for their commitment in getting things right for you and making FPA membership compelling.

In 2019, we released the FPA policy platform, ‘Affordable Advice, Sustainable Profession’. We are well ahead of where we thought we would be with discussions on the 19 key recommendations. One long-standing position the FPA has been working on behind the scenes for more than a decade is the tax deductibility of advice. At the time of writing, our work with the ATO is seeing some good results and I believe we may see some movement in this space soon.

One message, many voices

‘One message, many voices’ has been the motto among the associations that represent financial planning for some time. In 2022, the FPA will continue its effective collaboration with the key associations, ranging from joint meetings with the Minister and Shadow Minister, a number of joint submissions, and various working groups on key issues.

I know this co-operation has impact and will continue to have impact with our key stakeholders. Now more than ever, we need to work together without self-interest for the greater good of our members, your clients and all Australians, so they can access the advice they both need and can afford.

I love being a financial planner. It was a career I knew a little about when I was at school, and I learnt more about during a rotation in my first job and as I worked in roles providing services to the fledgling profession. I have now worked as a financial planner for more than 25 years.

Do I find it frustrating at times? Absolutely. Do I wish that it was easier to deliver advice to more people? Yes. Do I wish I didn’t have to charge so much for what I do, simply to pay for the regulation and compliance requirements as they stand now? Without a doubt! Will I continue to offer strategic financial planning services in the future? Certainly – my clients need me to, as do the clients I have yet to meet. 

One thing I won’t be doing, however, is finding ways to circumvent the rules. Despite how frustrating and difficult it is at times, at the end of the day, the standards we adhere to and the services we provide builds trust with the consumer and ensures the future of our profession as a whole.

I hope to see and connect with as many of you as possible in Sydney at the FPA Professionals Congress (23-24 November 2022), and I continue to be available to you in my remaining time as FPA Chair.

Marisa Broome CFP^® is Chair of the FPA.