![]() |
Home
| Databases
| WorldLII
| Search
| Feedback
New Zealand Securities Commission |
Last Updated: 16 November 2014
28 October 2010
Standard Conditions for Authorised Financial Advisers
Pursuant to section 55 of the Financial Advisers Act 2008 (the Act), the
Authorised Financial Adviser (AFA) is authorised by the Securities
Commission to
provide the financial adviser services specified in the Certificate of
Authorisation subject to terms and conditions.
Those terms and conditions
include, by way of incorporation, the following standard conditions:
1. Requirement to have and maintain an Adviser Business
Statement
The AFA must maintain and keep current a written Adviser Business Statement
(ABS) in accordance with the most current published version
of the AFA ABS
Guide. The AFA must ensure this accurately reflects the AFA’s business and
compliance arrangements. The AFA
must provide annual confirmation to the
Securities Commission that the AFA’s ABS is current and must provide a
copy of the
ABS to the Securities Commission on request and within the time
period requested.
2. Reporting
The AFA must report in accordance with the periodic and other reporting,
accounting and notification requirements contained in the
Regulatory Reporting
Guide for AFAs.
3. Notifications
The AFA must notify the Securities Commission in writing within five business
days of any significant matter concerning the AFA’s
authorisation, or
financial adviser activities including:
4. Records
The AFA must ensure that all records pertaining to his or her financial
adviser business are available for inspection by the Securities
Commission at
any time. This includes the AFA’s client files containing the records
required by Code Standards 12 and 13, the
continuing professional development
records and personal professional development plan required by Code Standards 17
and 18, and
any other records required to be kept under the Act or any
regulations.
5. Client money
Where the AFA acts as an intermediary for a client in the receipt, holding,
payment or transfer of client money or client property,
the AFA must act in
accordance with the brokers’ conduct and trust accounting obligations in
Part 3A of the Financial Advisers
Act 2008 (even if the obligations would not
otherwise apply to the AFA).
6. Supervising trainee advisers
Where the AFA is responsible for supervising trainee financial advisers, the
AFA must act professionally and must always ensure there
is an appropriate level
of supervision of the trainee including during any client interaction. The
supervising AFA must ensure that
the trainee does not provide services to
clients that can only be provided by AFAs.
7. No endorsement
The AFA must not at any time state or imply that the Securities Commission
has endorsed or approved the AFA’s business, advice,
or solvency, or any
other agreements or business arrangements of the
AFA.
2
NZLII:
Copyright Policy
|
Disclaimers
|
Privacy Policy
|
Feedback
URL: http://www.nzlii.org/nz/other/NZSecCom/2010/18.html