Disclosure requirements

This page provides information about the disclosure requirements that will apply in the new financial advice regime after the Financial Services Legislation Amendment Act comes into force.

On 10 October 2019 we released an Exposure Draft of the Financial Markets Conduct (Regulated Financial Advice Disclosure) Amendment Regulations 2019 for feedback. These draft regulations give effect to the previous Cabinet decisions that set the disclosure requirements that will apply in the new regime.

Please provide your feedback on the draft regulations on the Financial Markets Conduct (Regulated Financial Advice Disclosure) Amendment Regulations 2019 submissions page

Background on new disclosure requirements

On 25 February 2019 Cabinet agreed on the disclosure requirements that will apply in the new financial advice regime. Once the new regime has come into force, anyone who gives regulated financial advice to a retail client will be required to disclose information regarding:

  • the licence they hold and certain duties that they are subject to
  • the financial advice services that they can provide, the range of products they can advise on, and any limitations on the advice
  • the applicable fees and costs associated with the advice
  • the commissions, incentives and other conflicts of interests that could impact the advice
  • the complaints handling and dispute resolution process
  • any previous disciplinary history, and certain criminal convictions or civil proceedings
  • in the case of financial advisers, bankruptcy proceedings within four years of the date of discharge.

Read information about the disclosure requirements [PDF, 366 KB]

Read the Cabinet paper: Regulation of financial advice: disclosure and multiple providers [PDF, 203 KB]

Read the Regulatory Impact Summary: Financial advice disclosure regulations [PDF, 561 KB]

Previous consultation

In developing the disclosure requirements we publicly consulted on proposed requirements, and completed consumer testing.

Read about the consultation on the proposed disclosure requirements

Read the 2017 consumer testing [PDF, 1.4 MB]

Read the 2018 consumer testing [PDF, 2.3 MB]

 

Last updated: 10 October 2019