Commission welcomes new financial adviser legislation

The Securities Commission welcomes the passing of the Financial Advisers Bill by Parliament today.

"This will make financial advisers more accountable and boost investor confidence in the professionalism and integrity of financial advisers," Commission chairman Jane Diplock says. "It is an important piece of legislation in that it addresses a gap in regulation of financial services and aligns New Zealand with international best practice."

With the supervision of financial advisers the Commission's role is significantly increased and a Commissioner for Financial Advisers will be appointed with specific functions under the new law.

"We look forward to working with the industry to establish a framework to address the requirements of the legislation," Ms Diplock says.

The immediate priorities for the Commission include consulting with industry on competency and conduct needs in preparation for the development of a code of conduct and terms and conditions for authorizing financial advisers.