Manage the Burden of CPD Compliance

Compliance for advisers is not only becoming expensive, it is time consuming and cannot be avoided, says Tim Larkin, CCO of the compliance & training firm Dacreed.

“The FMA requires FAPs to have robust systems in place for managing their professional development and compliance,” he says.

“This includes having a professional development plan in place for each adviser, recording their professional development activities and outcomes, and maintaining accurate records of their compliance.”

However, Larkin says technology is making the management of CPD easier, cutting the cost of compliance, and improving efficiencies.

He says new technology enables FAPs to create tailored professional development plans, record professional development activities and outcomes, document and monitor CPD, as well as maintaining registers of each adviser’s compliance status.

…technology significantly reduces the cost of compliance management…

“The technology significantly reduces the cost of compliance management by reducing the hours it takes each year to develop a plan,” says Larkin. “Advisers get a better range of courses that meet their needs and help them deliver better customer outcomes, which is ultimately what FAPs are in business to do.

“Not only will advisers save time and money, they will significantly reduce the risk of issues with the FMA, which has made it clear that it is going to crack down on FAPs who don’t comply with new regulations.”

Larkin says that given the looming financial headwinds, it is more important than ever to adopt new technology that helps advisers deliver better customer outcomes, save time and money, and avoid problems with the regulator.