The Financial Services Council has released a guide to help financial advisers understand upcoming changes to disclosure requirements.
Under the Financial Services Legislation Amendment Act (FSLAA), from 15 March 2021 disclosure statements currently provided by the advice community will not be able to be issued in their current form. To comply with the changes, new disclosure requirements must be put in place.
Richard Klipin, CEO of the Financial Services Council, says its latest disclosure guide provides practical support for advisers on how to change the disclosure process into “…an active conversation with consumers”.
“The guide provides examples of the new disclosure requirements through different advice scenarios and gives examples of wording that could be used,” says Klipin.
“With Christmas looming, there isn’t much time for the advice community to make the necessary changes to meet the new legislation.
“Disclosure is one of the ways the industry can provide the right information to help consumers make the right financial decisions.”
Mark Banicevich, Chair of the FSC Adviser Transition Working Group, says the guide takes readers through the key process of preparing clear information for consumers, from the general requirements of the legislation to complaint handling.