A Guide to the ASIC Financial Advisers Register & AFS Licensee Obligations

Introduction

Maintaining the Australian Securities and Investments Commission (ASIC) Financial Advisers Register (FAR) is a critical compliance obligation for every Australian Financial Services (AFS) licensee. Mandated by the Corporations Act 2001 (Cth), the register is the public’s primary tool for verifying the credentials of any financial adviser authorised to provide personal advice to retail clients on relevant financial products, thereby upholding consumer protection and market integrity.

For an AFS licensee, ensuring the accuracy of adviser details—from qualifications to authorisation history—is a strict legal requirement introduced by the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021 (Cth). This guide provides essential information and a practical framework for managing FAR obligations, helping licensees navigate the notification process through ASIC Connect and systemise their compliance to avoid administrative breaches.

Maintaining the FAR is a Critical Obligation for Your AFSL

Understanding the Financial Advisers Register

The FAR serves as the primary tool for the public to verify a financial adviser’s:

• Credentials
• Registration status
• Authority to provide personal advice to retail clients

As an AFS licensee, you bear legal responsibility for maintaining accurate information for each relevant provider you authorise. This ongoing compliance obligation was introduced by the Financial Sector Reform (Hayne Royal Commission Response—Better Advice) Act 2021 (Cth) following the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

It’s important to note that this requirement exists separately from and in addition to the pre-existing obligation to appoint a relevant provider to the FAR after authorisation.

Consequences of Non-Compliance

Failing to maintain accurate FAR records can lead to significant repercussions. It is considered a serious offence for:

• An AFS licensee or relevant provider to knowingly provide false or misleading information to ASIC
• Failing to take reasonable steps to ensure the information provided is true and correct

The registration requirement functions as a crucial consumer protection mechanism. It ensures AFS licensees have properly vetted their financial advisers, confirming they meet the fit and proper test for an AFSL and satisfy mandatory education and training standards.

When a financial adviser remains unregistered, consumers face significant risk of receiving personal advice from someone not legally permitted to provide it.

Legal Implications of Unregistered Advice

If a financial adviser provides personal advice to retail clients while unregistered:

• The relevant provider breaches a restricted civil penalty provision under section 921Y of the Corporations Act 2001 (Cth)
• The authorising AFS licensee commits an offence of strict liability and contravenes a civil penalty provision under section 921Z of the Corporations Act 2001 (Cth)

ASIC actively monitors the FAR and has already issued infringement notices to AFS licensees who have authorised advisers providing personal advice while unregistered. The regulator has made it clear that compliance programs will continue, with FAR records serving as the basis for determining if relevant providers are properly authorised to provide financial advice services.

Your Essential FAR Data Checklist for Advisers

Personal & Contact Details

To maintain accuracy on the FAR, AFS licensees must ensure that all personal and contact information for each relevant provider is current and correct. This is a critical step in ensuring the public has access to reliable information.

The key details that require regular verification include:

Detail	Description
Full Name	The legal name of the relevant provider.
Date and Place of Birth	Essential for accurate identification.
Principal Place of Business	The primary location from which the adviser operates.
Contact Details	The relevant provider’s direct work phone number and email address.

Qualifications & Professional Memberships

An AFS licensee must verify that the qualifications and professional memberships listed on the FAR for each financial adviser are accurate and meet the required standards, as this is a key part of maintaining and demonstrating AFSL organisational competence. This includes confirming that any listed qualification has been completed and is an approved course of study under the Corporations (Relevant Providers Degrees, Qualifications and Courses Standard) Determination 2021 (Cth).

Specifically, licensees should ensure the following are correctly recorded:

Item	Verification Requirement
Approved Qualifications	Any bachelor’s degree, higher degree, or equivalent qualification that meets the standards set by the Minister.
Completed Training Courses	All relevant training courses completed by the financial adviser that are pertinent to the provision of financial services.
Professional Memberships	Any memberships in professional bodies that are relevant to the financial advice services provided.
Experienced Provider Pathway	For advisers relying on this pathway, the AFS licensee must ensure the appropriate self-declaration and supporting evidence are on file and that ASIC has been notified.

Authorisation History & Adviser Status

It is crucial that a relevant provider’s authorisation history on the FAR accurately reflects their recent advising roles. AFS licensees have an obligation to ensure this information is not misleading, as ASIC has identified instances where employment history in paraplanning or client service roles has been incorrectly listed as advising history.

Furthermore, licensees must check the adviser’s status on the FAR to confirm they are registered as a relevant provider. Before a financial adviser can legally provide personal advice to retail clients, their status on the register must show as “registered”.

Providing advice while unregistered is a serious offence for both the adviser and the authorising AFS licensee.

Tax (Financial) Advice Services Capability

If a financial adviser provides or intends to provide tax (financial) advice services, the AFS licensee must confirm they are a qualified tax relevant provider. This involves verifying that the adviser has completed the prescribed courses in commercial law and taxation law as detailed in the Corporations (Relevant Providers—Education and Training Standards) Determination 2021 (Cth).

Once confirmed, the licensee must notify ASIC of the adviser’s capability to provide these services. For existing providers, these courses must be completed before 1 January 2026 if they wish to continue offering tax (financial) advice services.

Understanding the Critical 30-Day Rule & Update Triggers

The 30-Business-Day Notification Rule

AFS licensees must ensure the details of their financial advisers on the FAR are accurate and current. A critical component of this responsibility is the requirement to notify ASIC of any changes to a relevant provider’s details within 30 business days. This timeframe is a mandatory compliance obligation under the Corporations Act 2001 (Cth).

Failure to update the register within this 30-business-day window constitutes an offence and is a key consideration in the guide to breach reporting by AFS licensees. ASIC actively monitors the FAR for accuracy and may take regulatory action against AFS licensees who do not meet this deadline.

This rule also applies specifically when an AFS licensee receives a written declaration from a financial adviser who is eligible to access the experienced provider pathway. In such cases, the licensee must notify ASIC of this declaration within 30 business days of receiving it.

Common Triggers for Updating the FAR

An AFS licensee must lodge an update on the FAR whenever there is a change in a matter for a relevant provider. These updates are crucial for maintaining the integrity of the register, which consumers rely on to verify an adviser’s credentials.

All notifications are made by lodging a ‘maintain’ transaction via the AFS licensee’s ASIC Connect portal.

Common events that trigger the need for an update include:

Trigger Event	Details / Action Required
Changes in Authorisation	Occurs when a financial adviser is newly authorised by the AFS licensee or when their authorisation is ceased.
Personal and Business Details	Any changes to a relevant provider’s name, business address, or contact details (phone number, email) must be updated.
Qualifications and Professional Standards	The register must be updated when a financial adviser completes a new qualification or prescribed courses for tax (financial) advice services.
Experienced Provider Pathway	An update is required when an AFS licensee receives a declaration from a financial adviser confirming their eligibility for this pathway.
Authorisation History	It is essential to ensure the adviser’s authorisation history is accurate and reflects recent advising history, not other roles.

How to Systemise Your FAR Compliance Processes

Integrating FAR Updates into Your Onboarding Process

A critical step in onboarding a new financial adviser is ensuring they are correctly added to the FAR. This process involves several important steps that must be completed in the correct sequence:

1. The AFS licensee must first authorise the relevant provider
2. The AFS licensee must then appoint them to the FAR
3. Finally, the AFS licensee must lodge a separate application to register the relevant provider

This entire process is managed through the AFS licensee’s ASIC Connect portal. It’s important to note that before a relevant provider can legally provide personal advice to retail clients, they must be properly registered. In fact, it is a strict liability offence for an AFS licensee to authorise a financial adviser who provides personal advice while unregistered.

Managing Cessations in Your Offboarding Process

When a financial adviser ceases to be authorised under your AFS licence, their registration is automatically cancelled. At this point, the AFS licensee must take prompt action to:

• Update the FAR to reflect this change
• Lodge this notification via ASIC Connect within 30 business days of the cessation

Failing to update the register in a timely manner constitutes an offence. Additionally, if the adviser is re-authorised by your firm or another AFS licensee in the future, a new application for registration must be submitted before they can legally provide personal advice again.

Conducting an Annual FAR Audit

To ensure ongoing compliance and mitigate the risk of administrative breaches, it is best practice to conduct a full audit of all your authorised financial advisers’ details on the FAR at least annually. This is particularly important as ASIC conducts its own spot checks, which can escalate into formal AFSL audits and investigations, and relies on the FAR for its compliance programs.

An annual audit should verify the accuracy of the following key details for each relevant provider:

Audit Area	Verification Task
Authorisation History	Ensure the history accurately reflects recent advising roles and does not incorrectly list paraplanning or client service positions.
Qualifications	Confirm that all listed qualifications are completed, approved courses of study, and that evidence is held on file.
Experienced Provider Pathway	If applicable, verify that the self-declaration is on file and that ASIC has been correctly notified.
Tax (Financial) Advice Services	Check that any adviser providing these services has completed the prescribed commercial and taxation law courses.
Personal and Contact Details	Confirm the adviser’s business address, phone number, and email address are current.

Using ASIC Connect to Appoint & Maintain Adviser Details

All notifications and updates to ASIC regarding the FAR are managed through the AFS licensee’s ASIC Connect portal. This online system serves as the designated channel for:

• Appointing new advisers
• Registering them to provide personal advice
• Maintaining the accuracy of their details over time

An AFS licensee must complete a sequential process to authorise a new financial adviser. It is crucial to understand that appointing an adviser to the FAR is a separate step from the final registration that permits them to provide personal advice to retail clients.

The process involves three distinct stages:

1. The AFS licensee must first formally authorise the individual to act as a relevant provider.
2. Next, the AFS licensee must use the ‘appoint (add)’ function on ASIC Connect to add the authorised representative to the FAR.
3. Finally, the AFS licensee must lodge a separate application through the ‘Registration of relevant providers’ transaction on ASIC Connect to officially register the adviser.

When applying to register a financial adviser, the AFS licensee must provide specific information and make several key declarations. The necessary details for each relevant provider include:

Required Information	Description
Unique Representative Number	This number can be found on the FAR.
Principal Place of Business Address	The address of the adviser’s primary business location.
Direct Contact Phone Number	A direct phone number for the adviser.
Personal or Direct Work Email	The email address to which ASIC will send the notice of registration.

In addition to providing contact information, the AFS licensee must make declarations confirming the adviser’s fitness and propriety to provide financial advice and their compliance with all mandatory education and training standards.

For any updates to an existing adviser’s details, such as a change of address, new qualifications, or cessation of authorisation, the AFS licensee must use the ‘maintain’ transaction on ASIC Connect.

Conclusion

Maintaining the ASIC FAR is a critical legal obligation for every AFS licensee, demanding strict data accuracy and adherence to the 30-business-day update rule. Systemising these duties through robust onboarding, offboarding, and annual audit processes via ASIC Connect is essential for ensuring ongoing compliance and upholding consumer protection.

To ensure your firm effectively manages its FAR obligations and avoids costly administrative breaches, contact the AFSL lawyers at AFSL House for trusted expertise and tailored compliance support. Our team in New South Wales can help turn your regulatory challenges into strategic opportunities, simplifying your workload and securing your compliance framework.

Frequently Asked Questions (FAQ)