PETALING JAYA: The Securities Commission (SC) will conduct a joint review with Bank Negara towards consolidating the licensing regime between financial planners (FPs) and financial advisers (FAs), which are regulated by the SC and Bank Negara, respectively.
The review is taking into consideration that a sizeable number of FPs and FAs are dual-licensed today.
Therefore, they are subjected to dual regulations, the SC said in its Capital Market Masterplan 3 or CMP3 report released yesterday.
“This will enable the consolidated FPs and FAs to offer a wider range of financial advisory and planning services to consumers and investors.
“This will also enable them to reduce the regulatory costs for intermediaries,” it said.
To facilitate the spectrum of investment advisory models in Malaysia, the regulatory framework needs to evolve, the commission said.
This entails a more streamlined and modularised licensing regime.
Further, this should be complemented by regulations and regulatory expectations on the various types of advisory models that are clearer and more distinct, it said. ― Bernama