below is the assignment there is questions which i have answered please have a look
Assessment cover sheet In order for your assessment to be marked you must complete and upload all tasks and this cover sheet via the AAMC Training Group portal. Your assessment tasks must be uploaded in an electronic format i.e. Word, Excel, PDF or Scan. A maximum of five (5) attachments (maximum 20MB each) can be uploaded for this assessment. Please see the step-by-step instructions in your Member Area on how to upload assessments. Student details Course name Assessment name Financial Services Legislation & Compliance Assessment Student name When you upload your assessment you will be asked to confirm that your assessment submission to AAMC Training is your own work and NOT the result of plagiarism or excessive collaboration, and that all material used from any third party has been identified and referenced appropriately. AAMC Training may conduct independent evaluation checks and contact your supervisor to discuss your assessment. Checklist of attachments: Financial Services Legislation & Compliance Financial Services Legislation & Compliance A2© AAMC Training GroupAssessment V3.5 Assessment V3.5© AAMC Training GroupA3 ☐ Task 1 – Case study questions ☐ Task 2 – Workplace project ☐ Task 3 – Short answers/Activity ☐ Task 4 – Workplace project ☐ Task 5 – Activity ☐ Task 6 – Workplace project ☐ Task 7 – Research ☐ Task 8 – Research ☐ Task 9 – Short answers Please indicate style of course undertaken: ☐ Online ☐ Virtual Class ☐ Face to face (Trainer’s name: ) Once your assessment has been uploaded it will be pending review with your nominated course assessor and marked within 10 working days. You will receive an email advising you have been marked as “satisfactory” or “additional information required”. If you have queries relating specifically to your assessment please log an ‘Assessment Query’ under the HELP tab on your Members Area dashboard and a Student Support officer will respond. Alternatively, if you have an administration query please go to ‘Admin Query’. For example: “I am having trouble with uploading my assessments and require assistance – can you please help me with this?” Should you need to speak to someone during office hours, please contact us by: Phone: +61 (03) 9391 3643 / +61 (0)8 9344 4088 OR Email:
[email protected] FINANCIAL SERVICES LEGISLATION & COMPLIANCE ASSESSMENT CREDIT TRANSFER You may be able to claim credit transfer for a unit/s of competency that you have previously completed with AAMC Training or another RTO. If you have been awarded a record of result or statement of attainment for any of the units detailed below then please go to the Credit Transfer tab in your Learning Centre and follow the prompts. This assessment relates to the following units of competency: · FNSINC401 Apply principles of professional practice to work in the financial services industry · FNSFMK505 Comply with legislation and industry codes of practice Please refer to AAMC Training’s full Recognition Policy for further details. PLEASE READ THESE IMPORTANT INSTRUCTIONS BEFORE COMMENCING YOUR ASSESSMENT: Please note articles and resources used in questions below are for the purpose of training only and may be outdated but still acceptable to meet the requirements of the tasks. In addition to fully reading and understanding the contents of the learner guide, you have been provided an FMB Assessment Toolkit. We urge you to fully read and understand both of these resources prior to commencing the following questions and case studies as they will assist you in successfully achieving an understanding of this module and thus a satisfactory result. Most of the tasks are related to the FMB Assessment Toolkit. You will also need to access some of the forms and templates in the Useful Resources section of your Members Area. · Your answers to each of the tasks are to be typed into this document and uploaded. · No assessment word count has been specified for some of the questions, although you are expected to provide good quality answers to each of the questions. · At the time of going to print the web links in this document were current. If you find a broken link please research yourself and advise AAMC Training of the issue. · Although some general discussion between students covering the assessment is allowed your responses to each of the questions must be an individual effort. · PLEASE NOTE: AAMC Training only wants to see your own work. Please do not upload parts of the learning guide or instructions on how to complete. When this extra information is uploaded it presents unnecessary work for the assessors and in turn delays our assessment responses. Task 1 – Case Study As part of managing your professional development and maintaining currency, you read many industry articles. You received this following article from Industry Media and decided it might be a good one for the other finance brokers (authorised credit representatives) of DNZ, in order to understand the industry better. The historic low interest rate of 1.5% which remained the same after nearly two years, is expected to increase "at some point,” according to Philip Lowe, Governor of the Reserve Bank of Australia (RBA). Economist Warwick McKibbin concurred stating that this has been shown by the local economic and political climate. The increase is predicted even in global standards as an effect of the rise of climate change policies, digital disruption, and the overall changing global economy. Due to low inflation, lack of growth in wages, and job insecurity - the present interest rate has failed to catch up with the global interest rates. These in turn mean that household spending is not enough to push the economy forward. While the RBA is able to influence most interest rates in the economy, and in turn manipulate the demand for borrowing, the banks are assumed to pass the cost on to borrowers. The banks endeavour to shoulder the costs of borrowing funds within their business before passing it on to borrowers via loan repayments. As the RBA and banks determine the cash rate and interest rates, they do not solely govern the behaviour of the financial services industry. While this is so, there is the call to prepare for the rate hikes. It is best for borrowers to sort out their finances ahead of time and be mindful of the industry’s climate, so that they are aware of interest rate movements. If it is possible, park spare cash in an offset account or use it for paying down the loan. News article resources can be found at the following websites (which were correct at the time of this publication): · https://www.afr.com/news/economy/monetary-policy/prepare-australians-for-rate-hikes-now-mckibbin-tells-rba-20180622-h11qcy (subscription-based) · http://www.abc.net.au/news/2018-07-03/very-high-chance-of-an-interest-rate-rise-next-month/9935456 · https://www.realestate.com.au/advice/how-to-survive-an-interest-rate-hike/ Case Study questions: 1. You have asked the finance brokers (ACR’s) in the DNZ business to consider the article above which will also help them to better explain to their clients and referrers about external impacts that may affect borrowing. Referring to the article above and the AAMC Training learner guide, identify a minimum of three external forces that could influence the move in interest rates and that also dictate the economic and political climate in relation to the financial services industry. 2. What are the two financial services sectors that are involved in influencing interest rate movements and how do they interrelate? Task 2 – Workplace Project 1. Paul has asked you to write a staff memo to update everyone on the recent changes and impact of the Australian Financial Complaints Authority (AFCA) on organisational policy, guidelines and procedures. Using the template below and considering the key points, write the office memo in less than 500 of your own words*. Refer to the AFCA website https://www.afca.org.au/members to locate relevant information found under Members. *MUST BE IN YOUR OWN WORDS Dear colleagues, ABOUT AFCA *Who are AFCA and what are the benefits of AFCA membership? AFCA is an external dispupte resolution team for consumers and small buninesses who are unable to resolve complaints with financial organizations. A dispute that could be with you bank, credit card company, super fund or any insurance company. AFCA provides fiar, independent and effective solution for these financial disputes. LETTING YOUR CUSTOMERS KNOW *What are the key points that you have to consider in communicating information about AFCA? *What does the AFCA Code Compliance and monitoring team support and administer? (Found under Codes of Practice) 2. Paul Williams has asked you to update the DNZ Credit Guide with the correct wording about AFCA. What information should be available to consumers on both the website and in the credit guide? Reference: “Letting your customers know about AFCA”. Task 3 – Short Answers/Activity Read the following article and answer the relevant questions. The broker's guide to CCR Having a complete picture of a borrower’s financial position promises many benefits for lenders, brokers and borrowers alike. With comprehensive credit reporting on Australia’s doorstep, The Adviser speaks to industry participants about how brokers can prepare for and make the most of the new regime. The mandatory comprehensive credit reporting (CCR) regime – which requires lenders to provide access to customer credit data, such as repayment history, credit limits and types of credit accounts – is being lauded as a revolutionary step in the lending process that could facilitate improvements to credit decisioning, credit availability, operational efficiency and competition, if implemented effectively. What is CCR? The National Consumer Credit Protection Amendment (Mandatory Comprehensive Credit Reporting) Bill 2018, which was introduced into parliament mid-last year, requires lenders to report positive credit information, such as when minimum payments on a credit card, mortgage or personal loan are being made on time. While the bill has been put on the backburner a number of times, the financial services industry has been making progress in adapting to the new regime. By the end of September 2018, which was the government-imposed deadline for the major banks to insert 50 per cent of their CCR data into a data exchange system, the big four banks, along with Citibank, HSBC, Teachers Mutual Bank, RateSetter and MoneyPlace had become participants in the regime. The government said that 100 per cent of CCR data would need to be shared by the big four banks by the end of September 2019, and the deadline for other lenders are 12 months after the major banks. It is believed that CCR will allow all participating lenders, including non-banks and fintechs, to better assess the risk status of a loan applicant. From risk to opportunity As Standard & Poor’s (S&P) notes in its report, Australian Structured Finance: Credit Analysis in a Digital Ecosystem: “Having access to data on borrowers’ financial commitments and the deployment of data science to analyse it will enable lenders to make a more accurate assessment of expenses, resulting in more prudent underwriting. “It will also facilitate greater consistency in debt-serviceability assessments.” S&P predicts that an open data model will reduce the financial services industry’s reliance on time-intensive manual processes, because a greater amount of