ASIC RG105
About Responsible Managers
Banks, building societies, credit unions, mutuals and other deposit taking financial institutions must have an Australian Financial Services Licence to be an Authorised Deposit-taking Institution (ADI).
The AFS licence requires them to nominate responsible managers who have the experience and formal qualifications to demonstrate that the organisation is suitably managed.
Responsible Managers must be assessed under one of the five options in ASIC Regulatory Guide rg105.43 Table 1. The College can assist to offer assessment options; and recommend a suitable responsible manager training short course or a Diploma.
The College also provides online short courses and CPD for all Responsible Managers operating under an AFS Licence in accordance with rg 105.
ACCM has a long history of working with employers to develop a customised training program that meets training needs and maximises access to subsidised training opportunities.
Talk to us about your needs and priorities, and your ideal training program.
ACCM is a national provider and has long term contracts across states and territories that support employers with subsidised training options. Let us work our way through the rules and regulations and deliver to you the best outcome.
The College has a wide range of long term and loyal clients who appreciate the industry expertise, flexibility and quality of the work that we do to deliver traineeships and training to their staff.
We excel at understanding the specific needs of each client and so are able to get equally outstanding reviews from employers in different sectors.
Don’t take our word for it - see the many Client Success Stories for more information.
Work with professionals who know your industry and the RG requirements. Obtain certification from an independent nationally recognised Registered Training Organisation and meet record keeping requirements.
Our finance team are pro-active in staying up to date with regulatory changes and industry compliance needs. We even go as far as referencing the ASIC Regulatory Guide requirements in each of the finance licencing courses we offer – so that you can also understand the exact requirements.
ACCM was one of the first RTOs to be authorised on the ASIC Training Register to deliver finance licencing courses and Tier 2 after the introduction of the Financial Services Reform Act 2001 (FSR Act). We have therefore amassed years of experience and expertise in addressing ASIC Regulatory Guide requirements.
ACCM has been around for a long time – being one of the first private RTOs approved in Australia. Our long term clients also show a history of client satisfaction second to none.
We also have long term contracts across many states allowing us to access subsidised training to reduce the financial burden on clients.
ACCM has been the largest provider of traineeships in Certificate III in Financial Services in NSW over the past 10 years – by a country mile. Our expertise in finance means that your new staff are able to be offered quality accredited training which can improve productivity as well as meet Tier 2 and compliance obligations.
We also have long term contracts across many states allowing us to access subsidised training to reduce the financial burden on clients.
Potential Responsible Managers can undertake a Diploma to meet the requirements. Options include Financial Services, Banking Services and Credit Management.
Recognition of Prior Learning would be an option for Responsible Managers. Under this option requested workplace evidence is submitted and is assessed towards the award of a Diploma in Financial Services.
The AFS Compliance CPD program is also an effective course to address the need for proof of ongoing responsible manager training. For managers who are the Responsible Manager for credit activities, CPD for RG206 wold also be evidence of ongoing training obligations being met.
ASIC did not define a Short Industry Course. The College can offer subjects that you identify as meeting this requirement; or can offer a full Diploma option to negate the need for the short course.
ASIC Regulatory Guide 105 (rg105) Licensing: Organisational Competence specifies the Responsible Managers training requirements.
RG 105.45 Specifies that your responsible managers need to have experience and qualifications or training that are relevant to their role in your business. This means that their experience and qualifications or training need to be relevant to the financial services and products that their role relates to.
RG 105.57 says that where your responsible manager has a degree it must be in a relevant financial discipline e.g. economics, commerce, business, accounting or equivalent. They must also have completed a short industry course that must be specifically relevant to the industry or product their role relates to (RG 105.59).
A Diploma or Advanced Diploma is also allowed under RG 105.61, again subject to it being specifically relevant to the industry or product the responsible manager role relates to. RG 105.63 lists examples of qualifications that ASIC will accept. including the Diploma of Financial Services.
When nominating your responsible managers, you also need to ensure they are of ‘good fame and character’. (RG105.33)
Under RG 105.34, your responsible managers, together, need to have knowledge and skills that demonstrate you can provide all of the financial services and products covered by your Australian Financial Services licence and understand the legal and compliance obligations relating to those services and products.
As well as having qualifications the responsible manager must have 3 years relevant experience over the past 5 years. (RG105 Table 1).
RG 105.7 states that ASIC expect your measures for complying with the organisational competence obligation will ensure that you (b) maintain and update the knowledge and skills of your responsible managers.
Responsible Managers can be employees, middle management, directors, or CEOs.
Responsible Managers must be directly involved in overseeing the provision of financial services or credit activities they are nominated for. They can't be a "figure head".
As well as being qualified, Responsible Managers must be of 'good fame and character' (AFSL) Prudential Standard APS 520 Fit and Proper.
Responsible Managers will oversee the provision of financial services (AFSL) or credit activities (ACL) and manage the provision of those services and activities. This involves a role in ensuring compliance in that area. That means responsible managers must be directly involved in significant day-to- day decisions that affect the business in relation to their nominated area; and be directly involved in overseeing the provision of those services.
A licence holder must maintain the competence to provide financial services and / or engage in credit activities. This means that Responsible Managers must keep their knowledge and skills up to date. All Responsible Managers should complete a minimum of 20 CPD hours each year.
ASIC Regulatory Guide 105 (RG105) last updated 11 October 2007 applies. Note ASIC RG206 relates to nominated senior staff as their managers who are responsible for the credit function within their organisation. Refer to the Credit Managers page.
Please note that The College is not able to offer legal advice on what your compliance needs are. This information is provided to assist and should not solely be relied upon when determining how to meet your Australian Financial Services Licence obligations.
