Course Title: Provide advice in managed investments
Part A: Course Overview
Program: C5343 Diploma of Financial Planning
Course Title: Provide advice in managed investments
Portfolio: BUS Portfolio Office
Nominal Hours: 50Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.
650T Vocational Business Education
Face-to-Face or Internet
Course Contact: Callie Harvey
Course Contact Phone: +61 3 9925 5772
Course Contact Email: firstname.lastname@example.org
This unit describes the skills and knowledge required to analyse client needs and provide advice ethically and professionally on managed investments in compliance with industry regulations and codes of practice. It addresses the training requirements of current Australian Securities and Investments Commission (ASIC) and Australian financial services (AFS) licensing at Tier 1 level.
It applies to individuals who use well-developed interpersonal skills and excellent communication and self-management skills to perform an advisory role in managed investments. Refer to the FNS Implementation Guide Companion Volume or ASIC for specific guidance on requirements.
Pre-requisite Courses and Assumed Knowledge and Capabilities
National Competency Codes and Titles
National Element Code & Title:
FNSASICT503 Provide advice in managed investments
1. Establish relationship with client and identify client’s objectives, needs and financial situation
2. Analyse client’s objectives, needs, financial situation and risk profile to develop appropriate strategies and solutions
3. Present appropriate strategies and solutions to client and negotiate financial plan, policy or transaction
4. Agree to plan, policy or transaction and complete documentation
5. Provide ongoing service where requested by client
Overview of Assessment
In order to achieve competency in this unit, you must provide:
Evidence of the ability to:
- interpret and comply with industry regulations and codes of practice
- analyse client’s needs, financial situation and risk profile, and prepare appropriate strategies or solutions relating to managed investments
- provide accurate and ethical advice on managed investment products and services
- implement the plan, policy or transaction once agreed by the client and complete documentation accurately.
To complete the unit requirements safely and effectively, you must satisfy generic and specialist knowledge requirements relevant to the products and activities in which advice is given.
- analyse and provide an overview of the economic environment including:
- characteristics and impact of economic and business cycles
- interest rates and exchange rates
- government monetary and fiscal policy
- analyse and provide a detailed explanation of the operation of financial markets including:
- roles played by intermediaries and issuers
- structure and interrelationships within the financial markets
- interrelationship between industry sectors
- outline financial products, including:
- concept of a financial product – general definition, and specific inclusions and exclusions
- types of financial investment products
- types of financial risk products.
- provide a detailed explanation of managed investment products including:
- concept of managed investments
- range of products offered under managed investments schemes, or a specific product offered under a scheme:
- property trusts, real estate investment strategies, valuation techniques, property management
- equity trusts, fixed interest trusts
- serviced strata schemes
- primary production schemes
- film schemes
- time-sharing schemes
- types of risks associated with managed investment products
- outline taxation issues in relation to managed investment products and markets in which they operate
- discuss the legal environment including disclosure and compliance covering:
- role of the representative or adviser
- relevant legal principles relating to the Corporations Act, Australian Securities and Investments Commission (ASIC) Act, Privacy Amendment (Private Sector) Act, Financial Services Reform Act (FSRA) and Competition and Consumer Act
- relationship between ethics and regulatory requirements including good faith, utmost good faith, full disclosure of remuneration and fees, and any other conflicts of interest which may influence the adviser’s recommendation
- relevant industry standards and codes of conduct
- regulators’ guidelines including ASIC Regulatory Guide (RG)146 requirements
- complaints resolution procedures (external and internal)
- explain theories of investment, portfolio management and management of investment and risk:
- investment concepts
- investment strategies
- identification of types of risk
- client risk profile.
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the financial services and products advice field of work and include access to:
- office equipment, technology, software and consumables
- managed investment product information.
You are advised that you are likely to be asked to personally demonstrate your assessment work to your teacher to ensure that the relevant competency standards are being met.
Feedback will be provided throughout the semester in class and/or online discussions. You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.
You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course.