Members of Financial Advice NZ needing someone to run their business while they’re away now have access to a register of experienced advisers who can step in to help.
The organisation’s CEO Katrina Shanks says its new locum service features a growing list of highly experienced advisers who can step in to help out if a fellow adviser needs to take a break from their business.
“Advisers can access our register to get cover for their business and provide cover for another advisers business,” says Shanks. “This is something that hasn’t been available until now. So whether an adviser is unwell or takes a holiday then their business can continue and their clients helped in their absence.”
It’s a little over three years since Financial Advice NZ was formed and the industry has seen plenty of change during that time. However, Shanks says a period of settling down has begun and expects a more stable environment as we head into 2022.
“What we will see now is the advice industry continue to thrive as the FAP world settles and more financial advisers gain qualifications,” she says. “We have seen the sector obtain a better understanding of the requirements in the new regime which has included the conduct and culture for both advisers and product providers.
…what I expect to see next is strong growth across the industry as advisers start to thrive…
“And what I expect to see next is strong growth across the industry as advisers start to thrive.
“I believe most financial advisers are in the space where they can just focus on being professionals, running good businesses and delivering high quality advice without being distracted by all the noise of legislative change and the mental challenges that come with it.”
Shanks says that while the old regime could be quite transactional based, today it’s all about providing advice.
“As those financial advisers become more advice focused they will also have advanced levels of competency, knowledge and skill,” she says.
While the bedrock of the industry starts to settle, Shanks is acutely aware that very little stands still for long. She says one driver of change will be the expectations and demands of a new generation of consumers.
“As we mature as a country, and people see their Kiwi Saver funds increase – and get a sense of wealth – I think advisers will have a great opportunity to work with those who are creating wealth and help them to think wisely and holistically about their future financial wellbeing,” says Shanks.
“This will give advisers the opportunity to grow and flourish as people seek advice on how to grow and protect their money. There is huge opportunity on the horizon for advisers to make a real difference to people’s lives.”
Wider scope
Shanks says areas such as life insurance and managed funds that appeared to be just for some people, will be a sector for the many.
“As consumers look for ways to protect themselves, and realise they are their own most valuable asset, then I think we are going to see seek change and adopt better financial behaviour.”
And when it comes to consumers, Shanks says her organisation will be doing more to help them understand how professional financial advisers can help them.
“We will be reaching out to the consumer and having a lot more consumer-facing promotions to raise the profile of the advice community,” she says.
Shanks says the strength of the organisation to support advisers is now well established.
“And as the industry matures more advisers will see the value of belonging to an industry body. You see it with doctors, teachers, accountants, lawyers…They have strong industry bodies and that is a cornerstone of being a professional.”
The next big event for Financial Advice NZ is its two-day Be Inspired, Be Energised conference on 16-17 November which is now an online-only event due to government lockdowns.