Newpark Reveals New Developments for Advisers

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Newpark has been working on a number of new developments for advisers, to support them in compliance, client support and business development.

In July, Newpark CEO, Melanie Purdey, explained how dealer groups need to evolve alongside advisers in the new regime (see: Dealer Groups Must Evolve Alongside Advisers…).

Newpark CEO, Melanie Purdey

She said it’s unlikely that traditional sources of revenue for dealer groups will continue in the new regime.

“As a result, in order to ensure that we have got support of the providers to provide a service that’s meaningful for them, we have to probably move to a fee-for-service type model and so the build of those services and the quality of those services are going to predicate the level of support suppliers are likely to give each of the dealer groups,” she explained.

Purdey confirmed Newpark has been developing three key service areas with the first being a robust training schedule.

She said Newpark has built up its training and development to offer compliant adviser process training that supports adviser obligations in the new regime.

They have also created business development coaching to help advisers plan their business, Purdey said, which helps “bring efficiencies into their business by having a robust and scalable process and a compliant CRM system that supports that so they can be out in front of more New Zealanders, giving them a plan B and securing their future.”

Lastly, the dealer group has developed a program of client support which it said will be offered to all of its advisers and includes file audits to general licensing and compliance support.

“We also developed an e-learning suite which is going to be made available to our advisers which will also assist them in being able to demonstrate knowledge, competency and skill.”

Purdey said another recent development at Newpark is in growing its social media presence to increase awareness to New Zealanders about the good news stories around what advisers do.

On licensing, Purdey said they are encouraging all of their advisers to consider self-licensing.

“We’ve always stood for advocating for the non-aligned adviser – that’s been the 20-year legacy of Newpark and we haven’t moved from that position,” she said.

“One of the aspects of that is to give them the autonomy they sought when they went into business for themselves,” she explained.

“This will allow them to make the decisions they choose and to control the costs in their business but also to own the liability and accountability for the advice they give that earns them an income not us. I think that’s where that liability should be domiciled rather than discharging it upward to a dealer group.”

Purdey confirmed Newpark will likely apply for a FAP licence but has no intention of bringing advisers under it at this time.