|        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Tuesday, July 16th, 7:46PM


Latest Headlines

FSP rules tightened

People with recent overseas criminal convictions will not be able to register as financial services providers, under changes announced today.

Tuesday, March 12th 2013, 1:06PM 4 Comments

Registered financial advisers have been subject to only limited disclosure obligations.

But Commerce Minister Craig Foss said Cabinet had agreed to strengthen the financial service providers registration regime.

“The proposed changes will further help prevent the misuse of the register by overseas entities trying to take advantage of New Zealand’s reputation,” he said. “These measures will help maintain New Zealand’s reputation as a trusted place to do business and work towards achieving the Government’s Business Growth Agenda outcomes.”

The Financial Markets Authority will be able to direct the registrar of financial services to decline registration where the FMA is not convinced it is necessary or desirable, and the registrar’s inspection powers will be widened to seek any information necessary, including whether an application should be referred to the FMA.

People with foreign criminal convictions for theft, fraud or money laundering in the past five years will not be able to register. People with New Zealand convictions are already disqualified.

The issue of foreign convictions was debated last year when Tone and Dennis Munro registered as financial service providers, just months after being convicted in Australia of lying to investors.

« Lessons for the finance sectorAdvisers ask: Are qualifications worthless? »

Special Offers

Comments from our readers

On 12 March 2013 at 2:30 pm Independent Observer said:
All industry participants (inclusive of those who continue to fly-in-fly-out of NZ, or solicit for monies remotely) should be FSP registered.

Further - all FSP registrations should be subject to a "fit and proper person" test, which should be annually renewed.

These actions apply in other jurisdictions, and are not overly onerous for the 99% of industry folks who intend to play by the rules. They have the added advantage of improving consumer sentiment towards the entire financial services industry.
On 19 March 2013 at 9:06 am Brian said:
I hope the FMA revokes the licenses of these 2 parasites. Not only are they a serious anger to the innocent people they are selling Insurance to, they have left a trail of destruction in the South Island ripping hundreds of thousands of dollars off innocent investors in Brisbane Property scams. Some of these investors have had their entire retirement nest eggs fleeced by the Munro's.
On 20 March 2013 at 9:08 am w k said:
How come the authority didn't see that coming? We're got so many migrants, me included. Just commons sense, isn't it? How did they (employees of the authority) get there? They can make mistakes or overlook things, advisers can't.
On 21 March 2013 at 5:21 pm Dean said:
Why "no convictions for dishonesty etc for 5 years"? It should be no convictions for dishonesty for 20 years or ever. Maybe 70% of advisers have been in the industry more than 5 years, could they be hiding a history of dishonesty convictions and we are not allowed to know? Are we that short of honest advisers that we have to allow in people who 6+ years ago were in court for fraud? Who makes these rules?

Sign In to add your comment



Printable version  


Email to a friend
News Bites
Latest Comments
Subscribe Now

Mortgage Rates Newsletter

Daily Weekly

Previous News


Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
Site by Web Developer and