The Kiwi Adviser Network launches
Chuck Slogrove, founder of CRM provider Trail and new aggregator the Kiwi Adviser Network, says he created the new group due to a “lack of leadership” from the industry on key issues.
Thursday, March 18th 2021, 5:13AM 
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Speaking to TMM Online, Slogrove said "advisers feel like existing groups in the industry have shown a lack of leadership on the things that really matter".
“Investment into technology, adviser professional development, and making compliance easy have largely missed the mark and left advisers wanting more,” he said. “The KAN is a natural progression for us in providing value in a way other head groups have struggled.”
The Kiwi Adviser Network formally launched this week, and has relationships with twenty lenders, including the big four banks. A further four lenders are set to join its panel this year. More than 60 advisers have applied to join the group so far.
According to a presentation seen by TMM late last year, KAN has a range of different membership options for advisers. The new group will welcome mortgage, risk insurance, and investment advisers dealing in advice on managed funds and KiwiSaver.
- For mortgage advisers, the group will charge from $900 per person per month for one-person businesses, to $750 per person per month for businesses with six or more people.
- For insurance-only advisers, KAN will charge from $600 a month per person for one-person businesses, to $500 per month per person for businesses with six or more people.
Slogrove said: “KAN’s pricing also scales really well as a business brings on more financial advisers ... You’re getting software, compliance support, professional development training, third line of defence audits, and support to make sure your business and advisers are all adequately set up to operate in the new regime.”
He said the group’s approach was “very different” from its established rivals.
“Our advisers are our number one priority. We don’t have our own branded advice business competing for their clients. We are also the market leader in adviser technology solutions, and KAN is an extension of this,” he added.
The new group hopes its technology platform and integration with Trail will give it the edge over larger competitors. Trail recently secured an ISO 27001 international cybersecurity qualification.
“Data security is integral in ensuring financial advisers maintain their position of trust with their clients. If consumers are protected, trust within the industry will continue to grow. We have made a commitment to lead the industry in this regard,” he said.
The group will offer advisers the option of working under a group FAP, or their own FAP, under the new licensing regime.
“We treat all businesses who join the network equally, so there’s no downside to choosing a particular licensing structure,” Slogrove added.
KAN members will benefit from a “compliance assurance programme”, Slogrove said. The group has in-built compliance processes through Trail, while the group will monitor and review files to identify gaps.
Members will also get an external back-up audit from Strategi each year, “to ensure our compliance assurance plan is functioning properly across the group”.
Slogrove believes the new regulatory landscape will lead to more advisers changing groups.
“For the advisers in our network, the upcoming regulatory changes aren’t a pain point, they’re a real opportunity to improve and grow,” he said.
“The industry is at a crucial crossroads, and advisers are looking for something different. It’s no longer just about commission payments and access to a lending panel.
“Advisers need strategic partners that can unlock their growth potential in an increasingly complex commercial and regulatory landscape.”
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