The Code Working Group has confirmed that the Minister of Commerce and Consumer Affairs, Kris Faafoi, has approved the Code of Conduct on 7 May.
“Now that the Code has been approved, there are at least nine months before it comes into force. There is also a further two-year transition period for existing advisers to work towards meeting the new competency standards set by the Code,” Code Working Group Chair, Angus Dale-Jones, said in a statement.
“The Code was developed through wide-ranging consultation. On behalf of the Code Working Group, I would like thank everyone who took the time to make a submission for their input in shaping the new Code,” he added.
“Having access to good quality financial advice makes a big difference in people’s lives,” said Faafoi.
“We want consumers to have confidence that people advising them about their finances are prioritising their interests, are competent and are following professional standards,” he said.
Faafoi noted that finalising a new financial advice code, one that fits within the Financial Services Legislation Amendment Act that was passed in April, also complements other work underway to provide more [protections] when consumers use banks and insurance companies.
The Financial Advice Code Working Group was appointed in mid-2017 to develop the new Code and Faafoi thanked the group for their work.
Click here to view the new Code of Conduct.
The Code Working Group also released its summary of submissions (click here) and an impact analysis (click here).