Financial Advice NZ membership numbers revealed

Financial Advice NZ has described a busy year of advocacy and oversight to industry professionals at its annual conference in Christchurch.

Tuesday, September 13th 2022, 6:19AM

by Eric Frykberg

It revealed it now has 1514 members, including 284 new members, but admits it has lost an unspecified number of members who have left the industry. Almost three quarters of its membership are male.

The update was presented by chair Heather Roy to the association's conference last weekShe said a survey had revealed members were happy with the organisation they belonged to, with 85% thinking Financial Advice NZ was heading in the right direction and 86% saying they would recommend membership to someone else.

“These are very positive numbers and they have consistently applied for the third year running, and they give us confidence that you value what we are doing,” Roy said.

“Our purpose is supporting New Zealanders to achieve choice in their financial matters and to achieve financial security.”

Roy also gave an update on where membership stood in the first year of the new regime.

“We have 73% of our adviser members working directly to a licensed FAP while 27% are working to an authorised body.

“And we would encourage you all to obtain your full licence as soon as you can if you haven't done so already.”

Roy also praised members who had attended ethics courses as part of the organisation's Trusted Adviser programme.

'We are looking towards more people attaining the Trusted Adviser marque.”

In her address, Roy referred to the association's advocacy over Government policy, especially regarding the Credit Contracts and Consumer Finance Act (CCCFA).

This was a difficult task, she said.

“The workload has been substantial and it has fallen on (the chief executive) Katrina Shanks' shoulders. She has delivered advocacy consistently on your behalf during the year and deserves recognition for the exceptional gains that were made.”

The CCCFA was one of the big bugbears for Financial Advice NZ. Roy said its impact was felt early on. A survey uncovered 300 cases of lenders being restricted in what they could do in just a few weeks after the law came into effect.

After lobbying by many groups including Financial Advice NZ, two of the more controversial rules were amended by the Government.

These included removing the need for lenders to sift through would-borrowers' expenses with a fine tooth comb. Further reforms are under consideration. However, many groups do not think the two tranches of reform go far enough, and the National Party is pledging a complete overhaul.

Another target of lobbying by Financial Advice NZ was the Financial Markets (Conduct of Institutions) Amendment Act. This would have imposed stringent oversight of intermediaries by financial institutions. While some provisions remain, the extent of control of independent operators was eased.

After describing this process to her audience, Roy won a round of applause directed at the work performed by Shanks.

Roy also revealed that Professional Development played a big part in the organisation's year, with 41 training webinars being attended by 6,872 people.

There were roadshows at six locations, with over 300 attendees. They covered subjects such as the economy, legislation and regulation, liability insurance and the FAP programme.

Tags: FANZ annual conference