He says advisers must obtain a Level 5 financial advice qualification which will be hard for older workers and those with family and work commitments.

Hassan points out that a lot of older advisers probably didn't even finish secondary school, let alone have any qualifications, making the education requirement daunting for them.

"It's a pity because a lot of those people are very good advisers, but it's one of the consequences of going through the change."

Hassan also believes the dispute resolution process is a catch 22 as it will be a better environment for consumers, but the public perception will probably be more negative because of media exposure around cases.

"It's a bit like after someone yells shark at the beach. It makes it safer because people are watching out for them, but you feel much less keen to go back in the water."

He believes the industry, "which is a relatively young profession", will experience profound change over the next five years.

He says he and his fellow five FPSB committee members will be focusing on the tough issues currently facing the industry including the role of commissions, ensuring clients' needs are placed first and enhancing document transparency.

Hassan believes the largest barrier to establishing trust in investments and the profession today is that many countries, including New Zealand, still use commissions.

He says the FPSB advocates a fee-based system, rather than a commission structure and where commissions are used, they should be appropriately disclosed to the client.

How financial advice is presented to clients is also an area which needs addressing according to Hassan.

He says advisers need to present documentation in plain language to support the advice they are giving.

"For instance, if an adviser tells a client to take shares from one company and place them with a different firm, the reasons for that advice need to be clearly documented. This should be standardised across the industry."