The Australian Securities and Investments Commission (ASIC) today issued a reminder to financial advisers (known as relevant providers) about their registration obligations: Financial advisers who do not register with ASIC before 16 February 2024 will need to stop providing personal advice to retail clients.。AFS licensees should preferentially register their relevant providers through ASIC Connect。

Between February 1, 2024 and February 5, 2024, ASIC sent separate emails to relevant providers that had not registered as of February 1, 2024, reminding them of the requirements for registration of AFS licensees.。

ASIC's records show that as of 9 a.m. on February 6, 2024, there were still 757 (4.9%) Individual related providers (including timeshare consultants) are not registered with ASIC。

ASIC encourages relevant providers to immediately check their registration status on the Financial Advisors Registry to ensure that they are recorded as "registered."。If they are not recorded as "registered," they will need to stop providing personal advice from midnight on February 15, 2024 until they are registered on the Financial Advisors Registry and noted as "registered," including all personal consultations as well as ongoing counseling services.。

From February 16, 2024, if the relevant provider provides personal advice without registering, it will violate the restrictive civil penalty clause, and the authorized AFS licensee of the relevant provider will constitute a strict liability offence and violate the civil penalty clause。

AFS licensees can now apply to register a related provider by submitting a "Register Related Provider" transaction via ASIC Connect。

The registration requirement for the relevant provider is a continuing obligation, effective from 16 February 2024。Relevant providers and their AFS licensees should establish sound processes to ensure that relevant providers are registered before providing personal advice on relevant financial products to retail customers。

AFS licensees should also ensure that they understand the circumstances under which the relevant provider will cease to register。ASIC will soon launch a program to ensure compliance with this new obligation。