"Not knowing a lot about the market we're about to regulate is a bit uncomfortable," said Securities Commission manager Mel Hewitson.

She was speaking at the IFA Professional Development Seminar in Matamata where she gave advisers some pointers on the authorisation process, what to expect and how to prepare for  the new post July 1 environment.

Speaking about the Standard Set C assessment Hewitson stressed the importance advisers engage with the process as soon as possible.

She said some advisers have underestimated the amount of work required and highlighted character testimonials as a particular area where delays can occur in the process.

She said the Commission has staff on standby to deal with the rush "which hasn't happened yet."

The fact that not all advisers will pass the required assessments to become AFAs was also stressed. Hewitson said the process was taken seriously and was intended "to get the right people through the gate."

The importance of the ABS (Adviser Business Statements) was also highlighted.

"We do understand this is everyone's first attempt at writing an ABS," she said.

The main point of the document is to outline how an adviser or adviser business conducts its operations.

"That's what we're interested in. That you have thought about your obligations regarding the Code."

The role of the ABS in Commission visits was also stressed, with Hewitson saying the better the ABS, "the less likely we'll come to you hunting for information."

The Commission is likely to request to see an ABS as the first stage in any potential visit, though there exist "a whole raft of reasons why we might want to come and see you," including simply being in the area or a random selection.

Whistle blowers will receive anonymity and the role complaints will have in guiding the Commission was also highlighted.

"We'll be really reliant on complaints, we don't have hundreds of staff to go around knocking on AFA's doors," she said.

Complaints will also be useful for the Commission to study for patterns and assess whether they need to re-examine any particular areas.

Hewitson stressed that the Commission aims to be a fair partner to advisers in the new regulatory world, but that "we won't tolerate those that try and cheat."

"I do have a big stick but I don't have to use it," she said.