In media release No 2012/084, issued 28 November 2012, the Minister for Financial Services and Superannuation and Minister for Employment and Workplace Relations, Bill Shorten, announced the release for public comment of draft regulations that will expand access to financial advice and better protect investors by delivering on the Government's commitment to replace the accountant's exemption with a new form of limited licence.
The draft regulations give effect to all aspects of this reform announced by Minister Shorten on 23 June 2012, including:
- in addition to being able to advise on self-managed superannuation funds (SMSF) and superannuation generally, licence holders will be able to give "class of product advice" on basic deposit products, general and life insurance, securities, and simple managed investment schemes;
- streamlined experience requirements for accountants who hold a practicing certificate issued by one of the professional accounting bodies (the Institute of Chartered Accountants in Australia, CPA Australia Ltd and the Institute of Public Accountants); and
- an exemption from the audit requirements for limited licence holders who do not handle client money and instead submit an annual compliance certificate.
Submissions on the draft regulations close on 21 December 2012.