RG 146 Advisers (except those advising on Tier 2 products) should have a generic knowledge of the environment in which they operate to understand the context in which the advice is given. Generic knowledge may be covered separately or within specialist knowledge training. Its content will depend on the adviser’s activity and products advised on and may include the following concepts. Table A1: Generic knowledgeThe economic environment characteristics and impact of economic and business cycles interest rates, exchange rates inflation government monetary and fiscal policies
Operation of financial markets
- roles played by intermediaries and issuers
- structure and inter-relationships within the financial markets
- inter-relationship between industry sectors
Financial products
- concept of a financial product—general definition, specific inclusions,
- exclusions types of financial investment products
- types of financial risk products (e.g. derivatives, risk insurance products)
The Courses
In order to comply to ASIC requirements to be a financial planner, a Diploma of Financial Planning is required from a RTO (Registered Training Organization). This qualification will allow you to provide advice on financial products to your client.