9Requirements for CPD

9 Requirements for CPD

Number of hours for each CPD year (1) Subject to this section, the minimum number of hours of qualifying CPD activities that a relevant provider must complete during a CPD year is 40. However, in special circumstances if the relevant provider is working part-time for the whole of the CPD year, with the prior written consent of the responsible licensee the minimum number of hours is 36.

Note: Provisional relevant providers do not have to meet CPD requirements.

Note: The Code of Ethics requires, as Standard 10, You must develop, maintain and apply a high level of relevant knowledge and skills.

(2) The qualifying CPD activities must include: (a) a minimum of 5 hours in the CPD area of technical competence; and (b) a minimum of 5 hours in the CPD area of client care and practice; and (c) a minimum of 5 hours in the CPD area of regulatory compliance and consumer protection; and (d) a minimum of 9 hours in the CPD area of professionalism and ethics. (3) If the relevant provider has a responsible licensee, at least 70% of the minimum number of hours referred to in subsection (1) must be spent on qualifying CPD activities approved by the licensee.

Note 1: This means that, for a relevant provider working full-time at least 28 hours will have to be spent on approved activities.

(4) In any CPD year: (a) no more than 4 hours of an activity that consists of professional or technical reading; and (b) no more than 30 hours of activity referred to in subsection 7(4); may be counted towards a relevant provider’s compliance with this determination. (5) For the purposes of this section, a relevant provider who leads or conducts a qualifying CPD activity may count, for the purposes of this section, the number of hours spent in the preparation and first delivery of the activity. Subsection 1546E(5) of the Act (6) If a CPD year is affected by section 1546E(5) of the Act, subsection (1), (2) (3) and (4) of this section apply, in relation to the CPD year, as if each of the minimum number of hours specified in, or worked out in accordance with, those provisions were adjusted in proportion to the increase in the period of the CPD year as determined in accordance with subsection 1546E(5) of the Act.

Note: Subsection 1546E(5) of the Act applies where a licensee’s first CPD year starts after 1 January 2019 and, before its first CPD year started, the licensee was a licensee, or authorised a relevant provider to provide personal advice to retail clients, on its behalf, in relation to relevant financial products. The subsection effectively extends the period of the first CPD year.

CPD years including 18 March 2020 (7) If a CPD year of a financial services licensee includes 18 March 2020, then: (a) the relevant provider may count, towards meeting the requirements for continuing professional development of the relevant provider for the CPD year, any qualifying CPD activities completed by the relevant provider during the period of 3 months after the end of the CPD year (additional activities); and (b) the relevant provider may not count additional activities that have been counted in terms of paragraph (a) towards meeting the requirements for continuing professional development of the relevant provider for any other CPD year.