Power to tweak financial advisers and service providers acts

Power told a conference in Wellington yesterday that he will move quickly "so as not to affect implementation timeframes" and more details will be forthcoming "shortly". He decided to make the changes after discussing the acts with participants in the financial sector.  

He also outlined the main areas his shake-up of the 31-year-old Securities Act will focus on. The discussion document due later this year will clearly state the objectives and scope of the nation's securities law, and will ensure consistency in the requirements for managed funds in New Zealand.

It will also ensure all investor information is adequate and relevant, and avoids unnecessary disclosure that may go unread.

He touched on a proposal for greater tailoring of investment statements, which have become "meaningless," to help investors know "just what it is they are investing in," and floated a proposal to introduce so-called wealth warnings "which give investors an instant overview of matters such as risk, return and fees."