On 15 December 2014, the following regulations were registered in the Federal Register of Legislative Instruments:
- Corporations Amendment (Revising Future of Financial Advice) Regulation 2014, which partially reinstates the Corporations Amendment (Streamlining Future of Financial Advice) Regulation 2014 (FOFA Regulations) that was disallowed by the Senate on 19 November 2014, and
- Corporations (Statements of Advice) Repeal Regulation 2014, which repeals the Corporations Amendment (Statements of Advice) Regulation 2014 that imposed a range of additional obligations on financial service licensees in relation to the provision of Statements of Advice, including that the client must acknowledge receipt of the Statement of Advice.
As a result, the following provisions of the FOFA Regulations have been reinstated and are now in effect:
- the accountants’ certificate renewal extension: extends the accountants’ certificate renewal period to provide that the extended 2 year renewal period also applies in relation to the FOFA provisions in Part 7.7A of the Corporations Act, and
- a number of exemptions to the ban on conflicted remuneration, including:
- the broadened grandfathering arrangements: which extend the grandfathering arrangements that provide that certain benefits are not conflicted remuneration,
- the education and training exemption: provides an exemption from the ban on conflicted remuneration for education and training relating to the provision of financial product advice,
- the stamping fee exemption: this exemption extends the stamping fee exemption to apply to IPOs of listed investment companies and real estate trusts, and
- the brokerage fee exemption: amends the application of the existing brokerage fee exemptions to include brokerage fees paid in relation to financial products traded on the ASX24.