FAQ
How can I apply to become an Authorised Representative?
Complete our Expression of Interest form.
What does it cost to be authorised by AAA?
The cost is based on your business turnover.
Our fees start from $10,000pa per adviser and increase based on revenue up to a cap of $25,000pa per adviser.
The other costs are PI insurance and the Government’s levy (which we pass on directly).
The table below gives examples of how these fees will work for your business:
| Business turnover | Dealer fees | Professional Indemnity Insurance | ASIC levy* | Total |
|---|---|---|---|---|
| up to $100,000 | $10,000.00 | $2,000.00 | $1,142.00 | $13,142.00 |
| $150,000.00 | $15,000.00 | $2,000.00 | $1,142.00 | $18,142.00 |
| $200,000.00 | $20,000.00 | $2,000.00 | $1,142.00 | $23,142.00 |
| $250,000.00 | $25,000.00 | $2,000.00 | $1,142.00 | $28,142.00 |
| $250,000 plus | $25,000.00 | $2,000.00 | $1,142.00 | $28,142.00 |
*This is an estimation based on the latest ASIC guidance. ASIC levy amounts are determined by the regulator on an annual basis and are subject to change.
AAA has its exclusive easy to use SOA generation software to speed up the advice process, which is provided for no additional cost.
The software demo can be found on the Web-based SOA Solution page
.Government Charges
ASIC has imposed an industry funding levy, the cost is for each authorised representative (AR), this is dictated by ASIC on a per annum basis. This levy will be passed on in full to the AR. For more information, please click here.
Can I obtain my own PI cover me for providing advice under our licence?
No.
AAA has secured a competitive PI solution and it is a requirement for all ARs to join this policy.
What do I get for my authorisation fee?
As the licensee, we need to ensure our ARs provide advice in a way that meets ASIC’s requirements.
To enable you provide advice, we will provide you the following:
- Tailored Financial Services Guide (FSG)
- Fact Finder template
- Software to produce efficient and compliant Statements of Advice
- A general asset class investment strategy
- Compliance audits
- Industry updates
- Compliance, CPD and IT phone support
- Discounted rate for NTAA Super Schools seminars
All document templates provided are regularly reviewed to ensure that the materials provided comply with the legislative requirements for providing licensed advice.
Does my accounting practice PI cover me for giving SMSF advice under your licence?
No. Please note that AAA has secured a competitive PI solution for all ARs and it is a requirement for all ARs to join this policy.
Educational Requirements (FASEA)
New education changes came into effect from 1 January 2019.
These changes mandate that ARs will need to obtain an approved degree prior to becoming authorised under an AFSL.
Existing advisers (i.e. those authorised under an AFSL by 31 December 2018) will have access to transitional arrangements that will provide more time to meet these requirements.
This means they will have until 1 January 2021 to sit an exam and 31 December 2026 to undertake a bridging course. In addition, existing advisers will not need to complete the professional year of supervised work and training.
For more information, please see below:
| Requirements | Education | Financial Advice Exam | Supervision |
|---|---|---|---|
| Existing Before 1 Jan 2019 | Existing advisers can undertake a pathway to upgrade their skills to achieve the relevant qualifications by 31 December 2026, this pathway will likely be in the form of a bridging course from your existing qualifications. | Current advisers have a transitional arrangement until 1 January 2021 to pass the exam. | Existing advisers are not required to be supervised. |
| New After 1 Jan 2019 | All new advisers will have to complete a bachelor or higher degree, or equivalent qualification before being authorised. | New advisers will have to pass this exam before they can be authorised to provide financial advice | All new advisers will have to undertake at least one year of supervised work and training. |
What advice will I be able to give?
AAA offers authorisation to provide advice on:
Deposit and payment products limited to:
- Basic deposit products
- Deposit products other than basic deposit products
Life products including:
- Investment life insurance products
- Life risk insurance products
Interests in managed investment schemes including:
- Investor directed portfolio services
- Retirement savings accounts ('RSA') products
Securities
Superannuation including:
- Investments within super, rollovers and super related recommendations.
Strategic advice including:
- Estate planning
- Debt management
- Centrelink Advice
Excluded:
Gearing
Margin lending
Can my practice be authorised to cover all my staff?
Anybody providing advice must be authorised individually.
The person providing advice to your clients must be authorised and will be held responsible for all advice given.
Can administration staff prepare documentation on behalf of an AR?
Yes. Preparation of advice documents and other non-advice administration can be performed by someone that is not authorised.
However, as per the above, the AR will be held responsible for all advice documents.
Importantly, no advice is to be provided by anyone who is not authorised.
If you are unsure about this please contact our compliance team.
Who owns my clients?
You retain client ownership.
What about CPD – do I have to do more than what I already do?
AAA’s CPD requirements align with the FAESA requirements. As an AR of AAA, you need to complete a minimum of 40 CPD hours per annum. The CPD year runs from 1 January to 31 December.
CPD which you complete with another provider may be offset against your CPD requirement with AAA’s.