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Niko Kloeten
Niko Kloeten
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Questions over minimum standards for AFAs

Thursday 12th of April 2012

The National Certificate in Financial Services Level 5, developed by ETITO, is currently the minimum qualification for those wanting to become Authorised Financial Advisers.

However, ETITO is canvassing the industry as to whether this is the appropriate standard, or whether the bar needs to be raised.

Its Financial Services Professional Development survey asked respondents to rate on an eight-point scale how strongly they agreed with certain statements, including "There is a need for a higher level (than Level 5) as the minimum standard for the AFA designation."

It also asked respondents to rate the statements that Level 5 "is pitched at the appropriate level expected of a minimum qualification for AFAs" and that it "should be minimum qualification for both RFAs and AFAs."

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FMA outlines its latest expectations for advisers
Paul Flood: The danger is that the 'goalposts' (regarding what is acceptable or unacceptable adviser conduct) may be susceptible to change. Our 'Principles based' legal/regulatory environment lends itself to “prevalence-induced concept change” over time, perhaps not so much in the written laws and Code, as in the interpretation of the prescribed principles.
20 hours ago Steve Wright
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Just a tip, if you use more than six, six letter words in a sentence you lose most Kiwi's. So avoid client/adviser confusion when writing your post or article if you would like it read and understood. Ironically, my last sentence was not likely read.
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FMA outlines its latest expectations for advisers
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To correct errors in my previous post: "policies, templates, and controls" should read "policies, processes, systems and controls", and "is more conductive" should read "is more conducive".
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