25 May 2011

700 financial advisers yet to meet provisions of new law

9:39 am on 25 May 2011

Hundreds of financial advisers may soon have to stop giving advice on KiwiSaver and some other investment products because they haven't completed the qualifications needed.

Financial adviser regulations that come into effect from 1 July make it an offence for those who are unlicensed to provide personalised investment planning services and advice on investment products.

The Director of Financial Adviser Regulation, Mel Hewitson, says about 700 advisers still haven't completed the competency assessments needed, and some may not be authorised by the deadline.

She says if they continue to provide advice in those circumstances, they will be acting illegally and can be fined.