Improving access to quality financial advice
In 2016 the Government agreed to amend the regulatory regime that oversees the provision of financial advice in New Zealand.
These changes will improve access to high quality financial advice for New Zealanders and represent a shift away from the current regime which sought to professionalise a subset of advisers, towards a regime which establishes a level playing field of regulation for all who are providing advice.
This followed an extensive review of the Financial Advisers Act 2008 and the Financial Service Providers (Registration and Dispute Resolution) Act 2008 by MBIE.
Consultation on the exposure draft of the Bill
On 17 February 2017 the Minister of Commerce and Consumer Affairs released an exposure draft of the amendment Bill and also sought feedback on proposed transitional arrangements.
The Consultation paper is divided into three sections and includes contextual information about the review, commentary on the draft Bill and details the proposed transitional arrangements.
Minister to appoint Code Working Group
The Minister of Commerce and Consumer Affairs is to appoint a Code Working Group to develop the new code of conduct for financial advice.
The Code Working Group will have at least seven members (and no more than eleven members) covering a range of skills and experiences, including two members appointed based on their experience in consumer affairs or dispute resolution. Members of the Code Working Group will be appointed for a three year term, whereby its members will become the Code Committee under the new regime once it comes into force.
Applications for the Code Working Group have now closed, with appointments likely to be made in August 2017.
Report on the Review of the operation of the Financial Advisers Act 2008 and the Financial Service Providers (Registration and Dispute Resolution) Act 2008
In June 2016 MBIE reported to the Minister of Commerce and Consumer Affairs on the operation of the legislation that oversees the provision of financial advice in New Zealand. This was a five year review that was written into the Acts. In the report MBIE made a range of recommendations for improvements that could be made to the regime.
Report on the Financial Services Providers Register (FSPR)
In August 2015 MBIE reported to the Minister of Commerce and Consumer Affairs on the operation of the registration part of the Financial Service Providers Act. This was a five year review written into the Act. Recognising the interdependence between the Financial Service Providers Act and Financial Advisers Act, the findings outlined in this report were fed into the wider review of those two Acts.
MBIE will review the submissions and make any necessary changes to the drafting of the Bill.
Resources for the review
Terms of reference
In addition to the formal engagement process the Ministry welcomes feedback at any time. If you would like to contact us, please email firstname.lastname@example.org