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Overview
The upcoming QAR Fee Disclosure changes, taking effect on 10 January 2025, are reshaping compliance processes across the industry. To help you efficiently align with these changes, AdviserLogic has enhanced key components, including the Compliance Module, Service Fee Statements, and the Adviser Home Widget.
In addition to providing robust tools to meet new regulatory requirements, AdviserLogic offers flexibility within the bounds of the legislation. However, you should consult your compliance teams to ensure alignment with your specific obligations and processes.
Key Changes
Fee Disclosure Statements (FDS)
No Current Year FDS Requirement
| While the annual Fee Disclosure Statement (FDS) must still be issued, it no longer needs to include retrospective (backward-looking) information. This change simplifies the process, making compliance more straightforward. |
Flexible Timing for Client Consent |
You are now able to provide consent for ongoing fees:
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Termination of Ongoing Fee Arrangements (OFAs)
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Comparison: Ongoing Fee Arrangements (OFAs)
Before 10 January 2025 | After 10 January 2025 |
Fee Disclosure Statement (FDS): Advisers were required to issue an annual FDS detailing: | No Current Year FDS Requirement: While the annual Fee Disclosure Statement (FDS) must still be issued, it no longer needs to include retrospective (backward-looking) information. This change simplifies the process, making compliance more straightforward. |
Annual Renewal: Clients had to provide written consent every year by signing a renewal notice within 120 days of the anniversary date. | Standardised Consent Form: You must use a standardised consent form specifying fees, services, and payment details. |
Fixed Anniversary Date: Renewal and disclosure deadlines were tied to a strict anniversary date, causing inconvenience. | Flexible Timing: Clients can provide consent within 60 days before or up to 150 days after the Agreement Anniversary (also known as the Reference) date. |
Example: Sarah's FDS is due on 1 April 2024, and she must sign the renewal notice by 29 July 2024. If missed, the arrangement terminates. | Example: Sarah’s Agreement Anniversary date is 1 April 2025. She can provide consent anytime from 31 January 2025 to 29 August 2025. This removes the strict deadline and FDS requirement. |
AdviserLogic Updates to Support Compliance
To ensure you can adapt to these changes effectively, AdviserLogic has introduced:
Dynamic Compliance Module Updates | Flexible consent timing tools for OFAs.
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Earliest Notification Date | This is the earliest date you can notify the client of the Ongoing Fee Arrangement for the Next Year – Cannot be changed |
Latest Notification Date | To ensure your notifications are sent out with sufficient time for your client to respond, we have introduced a Latest Notification Date. This is set by your business as part of your business rules, you can set this value between - 60 days and 150 days. |
Agreement Due Date | To ensure your clients respond in a timely manner, we have introduced an Agreement Due Date. This is set by your business as part of your business rules, you can set this value between -60 days and 150 days. |
Consent Renewal Due Date | This is now 150 days from the Agreement Anniversary (also known as the Reference) date. This is the date Consent must be confirmed. – This cannot be changed |
Simplified Templates | We have updated templates for ongoing and fixed-term arrangements to align with standardized consent requirements. From 10 January 2025, while you are required to disclose Next Year, you will have the option to provide Current Year Disclosure and Next Year Disclosure. |
Transition Tools | Reports identifying transitional clients who may require disclosures under the old rules. |
These updates reflect our commitment to helping you navigate the evolving compliance landscape. Please be sure to consult your internal compliance team for guidance specific to your business practices.
For assistance or further information, contact your CSM or our support team.
Compliance Module Enhancements
Current vs New Compliance Module
To provide a clear understanding of the changes, here’s a side-by-side overview
Current Compliance Module
Application Date
Anniversary Date
Disclosure Due Date
Renewal Due Date
Once marked as renewed, a fourth box displays Platform Consent.
💡Tooltips clarify deadlines, including:
Disclosure → 60 days from Anniversary
Renewal → 120 days (inclusive) from Anniversary
New Compliance Module
Effective 10 January 2025
Application Date | Unchanged |
Anniversary Date | Renamed to Agreement Anniversary (also known as the Reference) Date |
Agreement Due Date |
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Successfully renewed
Newly Added Fields
Earliest Notification Date - 60 Days prior to the Agreement Anniversary Date
Current Year/ Next Year Checkbox – for disclosure of details
If the Anniversary Date is between 10 Jan 2024 – 10 Jan 2025 a message will show beneath the Dates section.
Message: This client has an existing agreement in place.
Key New Features
Checkboxes for Current and Next Year Disclosures:
Previously, disclosures for both the Current Year and Next Year were mandatory. After 10 January, these checkboxes act as overrides:
Current Year - Defaults to Off but can be forced back on if required.
Next Year - Defaults to On but can be toggled off.
Tooltips and Date Logic Adjustments
Tooltips now dynamically adjust based on key dates:
For older agreements - Pre 10 Jan - The previous rules (e.g., +60 days) apply.
For new agreements - Post-10 Jan - Updated ranges (-60 to +150 days) display automatically.
Tools Enhancements
You can also now set default values in the Tools section.
To modify the Compliance date values, navigate to Tools > Administrative Tools > Compliance Including FOFA > Fee Disclosure Checkpoints
You can edit the Compliance Including FOFA Fee Disclosure Checkpoints by using the arrows or entering the number directly, you can also choose to include or exclude the Current or Next Year as a default.
📌Note
Even though the legislation now allows for greater flexibility, we recommend maintaining the default settings to meet due dates efficiently
Service Fee Statement Enhancements
Frequency Column
A new Frequency field has been added within the projected fees screen to clarify payment frequency from:
Monthly
Quarterly
Half Yearly
Annually
💡Tips
The Frequency column displays how often the specified amount is paid. Meanwhile, the Annual Projected Fee column continues to represent the annual total for clarity and ease of understanding.
Template Adjustments
Post 10 January
Focus on Upcoming Year Services and Fees
Removal of Current Year Fees as default. The form now moves directly into the upcoming year's services and fees section, eliminating unnecessary details about previous years, unless Current Year is specifically selected.
Enhanced details for Next Year Fees, including improved structure and bullet points.
Inclusion of fee consent details for greater transparency.
New Frequency Field
A Frequency field has been added, providing clarity on how fees will be charged (e.g., monthly, quarterly, annually).
This field ensures transparency and aligns with the legislative requirement to detail payment schedules.
Simplified Bullet Points
The section now contains only three bullet points, as it no longer includes details about fees charged for the current year. This change reduces redundancy and keeps the form concise and focused.
Fee Consent Form: Page-by-Page Breakdown
The updated Fee Consent Form, compliant with the new QAR legislation, provides a clear and structured format for client communication. Here’s a breakdown of the form by page:
Page 1 - Overview
Purpose: Explains the reasons for the form and its importance.
Details Included:
Why the form is required under the QAR rules.
What information is included in the form (e.g., fees, services).
How the client can renew the ongoing fee arrangement.
Page 2 - Previous Year Services and Fees
Applicable only for Agreements Pre-10 January 2025 or if the current year has been selected
Purpose: Details services provided, and fees charged for the previous year.
Key Information:
Summary of the services delivered during the last 12 months.
Breakdown of fees charged to the client.
📌Note
For agreements after 10 January 2025, this section may no longer be required.
Page 3 - Upcoming Year Services and Fees
Purpose: Outlines the planned services and projected fees for the next year.
Key Information:
Services the client will receive in the upcoming year.
The frequency field shows how fees will be charged (monthly, quarterly, annually).
Simplified to include only relevant details, with three bullet points focusing on upcoming services and fees.
Page 4 - Authority to Renew Form
Purpose: Captures the client’s consent to renew the arrangement.
Key Information:
Space for the client to sign and formally authorise the renewal of the ongoing fee arrangement.
Details on the start and end dates for the renewed agreement.
Fee Deduction Details
Consent Start and End Dates
Fields align with new regulatory requirements while remaining adaptable for integration with platform-specific forms (e.g., Hub24, IOOF).
📌Note
While AdviserLogic facilitates fee consent creation, some providers may still require proprietary forms.
Fee Consent Form and Template Updates
The QAR legislation makes fee consent forms integral to compliance.
Key Changes
Fee consent forms are generated per account holder and provider combination.
Multiple accounts with the same provider for a single individual result in one form.
Accounts across multiple providers or for different account holders require separate forms.
This structured approach ensures clarity in fee consent documentation while adhering to compliance requirements under the new QAR legislation.
Example 1: Client and Partner with CommSec Accounts
Example 1: Client and Partner with CommSec Accounts
Scenario: A client and their partner each have a CommSec account.
Forms Required: Two forms will be generated:
- One for the client's CommSec account.
- One for the partner's CommSec account.
Example 2: One Client with Two CommSec Accounts
Example 2: One Client with Two CommSec Accounts
Scenario: A single client holds two separate CommSec accounts.
Forms Required: One form will be generated because both accounts belong to the same individual.
Example 3: One Client with Accounts Across Two Providers (CommSec and IOOF)
Example 3: One Client with Accounts Across Two Providers (CommSec and IOOF)
Scenario: A single client has accounts with two different providers—CommSec and IOOF.
Forms Required: Two forms will be generated:
- One for the CommSec account.
- One for the IOOF account.
Transition Support
Supporting Your Transition: Enhancements to Compliance Tools
With the upcoming QAR legislative changes effective 10 January 2025, there are a few important considerations to keep in mind.
To make this transition smoother, AdviserLogic has implemented significant improvements to the Compliance Module, Database Segmentation, and Service Fee Disclosure Widget. These updates are designed to assist you in managing the new requirements efficiently and staying compliant.
Agreements with an Anniversary Date before 9 January 2025 will adhere to previous rules for the renewal cycle.
Agreements with an Anniversary Date from 10 January 2025 will switch to the new rules automatically.
A DBFO Transition Report is available in Database Segmentation to identify clients needing disclosures under the old rules even after 10 January.
DBFO Transition Report
Follow these steps to create the DBFO Transition Report and identify clients impacted by transitional compliance requirements:
Navigate to the Segments module in the top right corner of the AdviserLogic window.
From the Segments list, scroll down until you see the option titled DBFO Transition Report. Select this option.
Once selected, the screen will refresh The Selected Fields to Display column should now show these fields.
Entity.Parent ADL ID
Entity.ADL ID
Entity. First Name
SFD.AdviserName
SFD.Anniversary Date
SFD.Agreement Type
SFD.Disclosure Confirmation – Disclosed On
SFD.Agreement Terminated On Date
SFD.Mark as Fee Switched Off
Entity. Surname
Ensure these fields match to verify correct report generation.
At the bottom of the list, locate and click the Download button. An Excel sheet will be generated with the report details.
Anniversary Date Range
From: 1st January 2024 or later (calculated as the current date when the report is run).
To: 9th January 2025 or earlier.
Fee Switched Off Flag
The Mark as Fee Switched Off flag must be set to No to exclude terminated clients
Disclosure Confirmation Status Disclosed On
Must be blank to exclude clients who have already renewed, but their anniversary date has not moved forward yet.
Agreement Type
The Agreement Type must be OFA (Ongoing Fee Arrangement), excluding any Fixed-Term Agreements (FTAs) that are not subject to this process.
This report ensures that all relevant clients impacted by transitional compliance requirements are captured, helping you efficiently manage your obligations.
Service Fee Disclosure Widget: Upgraded to Help You Manage Compliance
To assist you in tracking and managing the changes to compliance under the new QAR legislation effective 10 January 2025, AdviserLogic has upgraded the Service Fee Disclosure Widget. These enhancements are designed to simplify your workflows and ensure seamless compliance with the updated requirements.
With clear columns and statuses, you can monitor the compliance lifecycle at a glance. We have added enhanced filters and due date tracking to help you focus on critical actions, reducing the risk of missed deadlines.
The updated widget accommodates the extended consent timeframes, aligning with the new legislative requirements.
Enhancements to the Service Fee Disclosure Adviser Home Widget include:
New Columns |
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Filter Improvements | The Due in XX Days filter now uses the Status Due Date field to display relevant actions, including overdue items.
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Status Categories |
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Key Enhancements to the Service Fee Disclosure Widget
New Columns Added
The widget now includes additional columns for improved tracking and visibility:
Earliest Notification Date - Displays the first date you can send notifications based on the updated rules.
Status - Indicates the current state of the fee disclosure process for each client.
Status Due Date - Shows the deadline for the current status action, ensuring you stay on top of your obligations.
Enhanced Filter Logic
As part of the upgrades to the Service Fee Disclosure Widget, the Status field has been introduced to show the current stage of the agreement, providing better visibility and control over the compliance process. This field ensures you can track agreements efficiently and address any pending actions promptly.
The Due in 30/60/90 Days drop-down filter now exclusively works with the Status Due Date field, enabling you to quickly identify actions required within specific timeframes.
Overdue items are also optionally included, helping you prioritise tasks that need immediate attention.
Improved Status Categories
The widget now categorises agreements by their progress in the fee disclosure process:
Agreement Pending Confirmation
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Requires follow-up for final confirmation. |
Agreement to Be Generated
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Indicates that initial actions are still pending. |
Declined Agreements
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Tracks agreements where the client has opted out. |
Completed Agreements
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Displays all successfully renewed agreements or those intentionally declined by the client. |
You can also now filter Completed and Declined Agreements
These upgrades, combined with AdviserLogic’s other compliance enhancements, are designed to make managing the QAR Fee Disclosure changes simpler and more efficient.
For additional support, refer to the AdviserLogic compliance guide or contact the support team.
As you can see, From January 10, 2025, AdviserLogic has been carefully updated to comply with QAR legislation changes, ensuring you can effectively navigate the new compliance requirements. By introducing greater flexibility, intuitive tooltips, and enhanced templates, we support you through this transition while maintaining compliance.
You should refer to your internal compliance teams to confirm processes and ensure adherence to regulatory obligations. For further assistance, consult AdviserLogic support or access the latest compliance guides available on the platform.