Changes on horizon under new government

As predicted by polls, Saturday’s election results left National in a position to form a government with the support of ACT and potentially NZ First.

During the election campaign, it promised a number of changes that could affect the financial advice and funds management sector, including the repeal of CoFI, winding back CCCFA amendments, changes to allow KiwiSaver members more than one provider and allowing young people to use their retirement savings to pay a rental bond.

Some in the sector are understood to be hoping ACT’s focus on lighter regulation could lead to a change of approach at the Financial Markets Authority.

Financial Advice New Zealand chief executive Katrina Shanks said it would be preferable to tweak CoFI, particularly around the rules for incentives paid to financial advisers.