FASEA Continuous Professional Development 2 — Questions and Answers
Question 1: Under FASEA's CPD framework, which of the following activities would most likely qualify as structured CPD?
- Reading an industry newsletter informally
- Attending an accredited professional development seminar (Correct answer)
- Discussing market trends with a colleague over lunch
- Reviewing a client file independently
Correct answer: Attending an accredited professional development seminar
Structured CPD includes accredited seminars, courses, and formal learning programs with defined outcomes.
Question 2: A financial adviser completes 30 hours of CPD in a given year but none in the area of ethics. How does this affect their compliance?
- They are fully compliant as total hours are met
- They are non-compliant because ethics CPD is a mandatory component (Correct answer)
- They can carry forward ethics hours from the previous year
- They only need ethics CPD every three years
Correct answer: They are non-compliant because ethics CPD is a mandatory component
FASEA requires a minimum number of hours specifically in ethics each year as a mandatory CPD category.
Question 3: Which FASEA CPD category specifically covers understanding the needs and circumstances of retail clients?
- Technical competence
- Client care and practice (Correct answer)
- Regulatory compliance and consumer protection
- Professionalism and ethics
Correct answer: Client care and practice
The 'client care and practice' category addresses understanding client needs, communication, and service delivery.
Question 4: What is the minimum number of CPD hours a financial adviser must complete annually under FASEA requirements?
- 20 hours
- 30 hours
- 40 hours (Correct answer)
- 50 hours
Correct answer: 40 hours
FASEA requires financial advisers to complete a minimum of 40 CPD hours per year.
Question 5: An adviser wants to count hours spent preparing for the FASEA exam as CPD. Under FASEA guidelines, this would be:
- Fully acceptable as structured CPD under technical competence (Correct answer)
- Acceptable only if a qualified supervisor verifies the study
- Not countable as CPD since exam preparation is a personal obligation
- Acceptable up to a maximum of 5 hours per year
Correct answer: Fully acceptable as structured CPD under technical competence
Preparation for the FASEA exam may be counted as structured CPD under appropriate categories such as technical competence.
Question 6: Which body is responsible for approving CPD providers under the FASEA framework?
- ASIC
- The adviser's licensee (Correct answer)
- FASEA directly
- The Financial Planning Association
Correct answer: The adviser's licensee
Under FASEA rules, the Australian financial services licensee (AFSL holder) is responsible for approving CPD providers and activities.
Question 7: An adviser completes a webinar on cybersecurity for financial practices. Under which FASEA CPD category does this most likely fall?
- Professionalism and ethics
- Technical competence
- Client care and practice
- Regulatory compliance and consumer protection (Correct answer)
Correct answer: Regulatory compliance and consumer protection
Cybersecurity in financial practices relates to regulatory compliance obligations and consumer protection standards.
FASEA Continuous Professional Development 2
Under FASEA's CPD framework, which of the following activities would most likely qualify as structured CPD?