Michael Frampton, ETITO manager - strategy and corporate relations, said he was "disappointed" that discussion about continuing professional development (CPD) was focused on the minimum of 20 hours prescribed by the code of conduct for Authorised Financial Advisers.

"I'm concerned the commentary seems to be dominated by discussion about hours when actually, CPD is about maintaining skills that are appropriate for the services advisers are providing.

"And it's not just AFAs; section 33 of the Financial Advisers Act requires all advisers to exercise reasonable care, diligence and skill when giving advice.

"You need to get all the way to code section 18 in the supporting notes before you get to discussion about 20 hours."

Frampton said one of the principles of the code is that before providing a service, AFAs must have the competence, knowledge, and skills to provide it, and must also show they have a reasonable basis for believing they are competent to do so.

"For some advisers it may be that more than 20 hours is required."

He said some of those who could require more than that include advisers who: provide complex or inter-disciplinary advice; provide advice across multiple asset classes; provide whole of life planning; and those who provide a 'comprehensive financial planning service'. 

The debate over professional development is too focused on AFAs, and there is an "unhealthy preoccupation" with 20 hours, Frampton said.

"I feel a little bit like we're not seeing the wood for the trees here - we're bound up in this mechanistic notion of 'have I made the 20 hours?'

"A black letter rules-based approach appeals to that egalitarianism at the heart of the Kiwi psyche, but advisers are not on a level playing field because they are providing different services.

"If advisers find themselves having to defend some of the choices they've made, if they turn around and say, 'I did my 20 hours' I'm not certain that's going to cut it."

He also said ETITO had put together an advisory committee to create a framework for CPD providers that would allow greater comparability between courses.