An adviser's guide to AML Compliance

As a qualified AML auditor and AFA in her own small practice, Meredith provides an unique perspective on AML compliance for other advisers like herself advising a client base made up of New Zealand “mum and dad” retail clients saving for, or in, retirement.   

As one of three supervisors, the FMA is charged with overseeing AML compliance for about 800 financial service providers.  These range from the ‘big end of town’ to the smaller independent or product-aligned AFA providing financial advice and service on Category 1 products deemed Reporting Entities (REs).  Considering my own compliance programme and activities as well as my experience auditing scores of programmes for other retail advisers like myself, there are 4 key takeaways from the FMA’s latest monitoring report.

1 - Staff Training: 

Under section 57 of the Act certain staff must be trained on AML/CFT matters.  The FMA is very clear that REs who do not carry out staff training are in breach of their obligations.