The Professional Advisers Association (PAA) and Institute of Financial Advisers (IFA) have announced a 100 working-day timeline to develop Financial Advice New Zealand, kicking off this Monday 12 September.
The 100 day development process is a result of a Working Group session facilitated by Foundation chief executive of the New Zealand Leadership Institute, Dr Lester Levy and will be split into four stages after which the plan will be presented for approval.
First stage (20 days)
Focusing on terms of reference, process management and preparing for stage two.
Second stage (40 days)
A forty-day consultation period, open to all advisers and partners.
Third stage (20 days)
Defining the Financial Advice New Zealand plan based on input and participation from the consultation stage.
Fourth stage (20 days)
Working through operational implications
“This is something exciting, fresh and new with huge potential,” PAA chairman Bruce Cortesi
told NZ Adviser
“I think it’s really important for everyone to recognize that Financial Advice New Zealand is about a new way of embracing what advisers do, which is advice – it’s embracing advice for better outcomes for consumers and advisers.
“The purpose of the working group was to ensure that Financial Advice New Zealand is given the very best opportunity to succeed and that means actually using the best resources available to make sure that happens,” said Cortesi.
IFA board chair Michael Dowling
, told NZ Adviser
some of the big questions that will be tackled during the process include asking what the future of financial advice will be and how financial adviser businesses could evolve.
“We need to be thinking and discussing that now, understand the implications and give room for various models to evolve but still be able to offer a very high quality of financial advice,” said Dowling.
“The most important component in our mind is the participation plan and then from there that sets the tone for the 40 working days of consultation.”
Dowling said there may be room for the 40 day target to stretch to accommodate feedback from as many advisers as possible but at the same time want to avoid overlapping with the busy period up to Christmas.
Until the 100 days have been reached and the plan can be presented to the industry, it’s business as usual for PAA/IFA members, Cortesi explained.
“Members should not have any concerns about existing benefits, such as PI schemes or education programs – they will only, if anything, probably be improved or strengthened as we go through this process.”
He said engagement from the industry is key to a successful outcome and all members and partners will be updated on progress at the end of each stage.
“Now is the time for the industry, advisers, partners and consumer bodies to get ready for engagement because there’s going to be a lot of work for all of us as we go through that process.”