Decoding COFI: Guiding you through the regulatory shift
Feeling perplexed about the upcoming Conduct of Financial Institutions (COFI) Bill? Not sure how this pivotal legislation will impact your business? We’ve got you covered! Our new Decoding COFI article series is designed to keep our newsletter readers well-informed and ready for the changes this legislation will bring to the financial sector.
In the months ahead, Mastering Compliance will feature articles dedicated to simplifying the complexities of the COFI Bill, which is set to replace existing industry-specific conduct regulations in the near future.
These articles aim to provide you with a clear understanding of the various aspects of COFI, enabling you to identify the changes you need to make in your business ahead of time and start transitioning. This way, you can hit the ground running when the bill becomes law.
COFI in a nutshell
The scope of COFI is broad, touching various facets of the financial industry. Yet, at its core, its primary goal is to enhance customer outcomes by formalising the Treating Customers Fairly (TCF) principles within the regulatory framework. In so doing, COFI hopes to guide advisor behaviour and outcomes for clients, fostering a financial environment centred on prioritising customer wellbeing and satisfaction.
The industry has already started moving from a checkbox compliance approach to one focused on outcomes and conduct-based reporting. In future, there will be a greater emphasis on using data as financial advisors will be required to evidence client outcomes by submitting data in the form of Omni-CBR reports to the Financial Sector Conduct Authority (FSCA).
What to expect from our COFI series
Understanding COFI and how it will influence your business can be complex and time-consuming. To make sense of COFI’s intricacies, our articles will break important aspects and key changes down into easily digestible pieces. Our goal is to empower you with the knowledge needed to navigate it effectively. With a better understanding of COFI, we aim to position you to thrive in the evolving financial landscape.
Stay tuned for upcoming articles, the first to be published in February’s newsletter. In each feature, we’ll delve into specific COFI aspects, providing insights, explanations and practical tips to help you assess your readiness and navigate the future of the financial sector with confidence and clarity.