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Commerce Minister Margaret Wilson has announced the make-up of the taskforce to look at regulation of financial advisers. One of the features is the strong representation of the financial services industry.

Monday, November 8th 2004, 6:35AM

The make up of the much-awaited Task Force to examine financial intermediaries will be known today.

The six-member task force was to have been named last week, and the issue went to Cabinet on Monday.

However last minute lobbying from the savings industry to get one of its representatives on the panel caused a hold up.

The original line up caused concern about insufficient representation from the financial services industry, and a panel too heavily weighted with officials and consumer interests.

The panel is to have an independent chair - one suggested name is former Securities Commission member Michael Webb - and will be supported by the equivalent of two full time officials.

It is understood at least one member of the Financial Planners and Insurance Advisers Association – believed to be Michele Stanton – is on the task force.

Hilton deal on again
Although St Laurence pulled the plug on a recent proportionate ownership scheme to buy the Hilton Hotel building on Auckland’s Princes Wharf the company is still keen to acquire the asset.

Originally St Laurence aimed to raise $29.7 million and was forecasting a 9.25% annual return.

The Herald reports that there is a new plan involving about six investors, including St Laurence.

Calan sale to help income flows
Calan Healthcare says the sale of a block of land on Auckland’s North Shore is a significant step forward in making its portfolio fully yielding.

The land, originally bought for development, has been sold to Metlifecare for $12.83 million. Under the deal $8.5 million of the $12.83 million is payable up front.

The balance, which attracts interest at the rate of 6.5% per annum, is payable over a maximum period of four years. The deferred settlement amount will be fully secured.

Calan says because the land has been a non-income producing asset, and it has had the effect of suppressing the trust's earnings and distributions.

The sale will deliver a significant increase to our earnings stream. The sale value represents approximately 6% of the trust's total assets.

More signs housing market slowing
ASB Bank’s latest survey of housing confidence suggests that while the housing market is slowing, steep declines in house prices are unlikely.

"As with previous cycles in the New Zealand housing market, any declines look likely to be modest on average, especially against an average 52% gain in house prices over the last three years," says ASB chief economist Anthony Byett. [more]

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