Financial Advice Code Committee – Member

Te Tiriti of Waitangi

As an agency of the public service, we acknowledge the importance of Te Tiriti o Waitangi as the constitutional basis of the relationship between Māori and the Crown, and the unique status of Māori as tangata whenua of Aotearoa New Zealand.

The principles of Te Tiriti, including partnerships, good faith and active protection, are at the core of the public service. The Government has an expectation that government entities will embody the Government’s good faith approach to Crown-Māori relations.

Tirohanga Whānui - Overview

On behalf of the Minister for Commerce and Consumer Affairs, the Ministry of Business, Innovation and Employment (MBIE) is seeking candidates who wish to be appointed as a member of the Financial Advice Code Committee (the Committee).

The Committee is Aotearoa New Zealand’s independent standard setter for financial advice, assisting the Minister in relation to the Code of Professional Conduct for Financial Advice Services. The Code sets the standards that financial advisers must meet in providing financial advice to New Zealanders. These standards cover things like treating clients fairly, acting with integrity, and having the appropriate qualifications.

MBIE is committed to considering candidates from a diverse range of backgrounds, age, gender, ethnicity and geographic locations.

Ētahi kōrero mō te Komiti - About the Committee

Korero Tuarongo - Background

The Code of Professional Conduct for Financial Advice Services (the Code) is a universal Code of Conduct for all advisers providing financial advice to retail clients.

The Code is part of a wider regulatory framework for financial advice found in the Financial Markets Conduct Act 2013 (the Act). The Code supports the purposes of the Act including promoting the confident and informed participation of businesses, investors, and consumers in Aotearoa New Zealand’s financial markets, avoiding unnecessary compliance costs, and ensuring the availability and quality of financial advice.

The Act imposes statutory duties on persons who give regulated financial advice to retail clients. Those duties include:

• To comply with the standards of ethical behaviour, conduct, and client care required by the Code.
• To meet the standards of competence, knowledge, and skill (including any continuing professional development requirements) provided in the Code for giving the advice.

The Code was approved by the Minister on 7 May 2019 and the obligation to comply with the Code came into force on 15 March 2021.

Te Komiti - The Committee

The Committee sets the professional conduct standards of financial advisers in their interactions with and services provided to New Zealanders. The Committee is an independent body and is established by Part 4 of Schedule 5 of the Act.

The Committee’s ongoing functions include:

• Reviewing the Code from time to time to make sure it remains relevant and fit-for-purpose.
• Recommending to the Minister changes to the Code if needed.
• Liaising with the Minister, the Financial Markets Authority, and financial advice and consumer stakeholders.

Ngā Ahuatanga Whakauru ki te Komiti - Committee Membership

Ngā Ahuatanga Whakauru ki te Komiti - Committee Membership

Committee members are required to:

• Be prepared for meetings and consider issues with an open mind.
• Review and maintain relevant standards for financial advice, in consultation with interested parties.
• Help to ensure the Committee meets its procedural requirements.
• Constructively challenge ideas where appropriate.
• Be available to attend scheduled meetings and/or engagement activities.

Mematanga o te Komiti - Membership of the Committee

Members of the Committee are appointed by the Minister.

The Committee consists of at least seven members, and no more than eleven members, including one appointed as chairperson. Members are appointed as follows: 

• Two persons who are each qualified for appointment because of their knowledge of, and skills and experience in relation to, consumer affairs or dispute resolution.

Other persons who are each qualified for appointment because of 

• Their individual knowledge of, and skills and experience in relation to, the provision of financial services.
• Any other appropriate knowledge, skills and experience that will assist the Committee to perform its functions.

Committee members will be appointed by virtue of their individual expertise, and not as representatives or nominees of particular interest groups.

Roanga o te nohonga - Term of appointment

Members are appointed for terms of up to three years. Members may resign by written notice to the Minister.  Members may be discharged from office by the Minister at his or her discretion.

Te aro o ngā mema - Expectations of members

Members of the Committee are required on a part-time basis. Time commitments will vary depending on the Committee’s workload and at peak times are unlikely to be more than 2 days per month.

Committee meetings are usually completed online, but occasionally travel may be required for members to meet in person for complex issues, which will be arranged by the Chairperson or the Secretariat.   

Administrative support is provided by a Secretariat.  

Te Utu - Remuneration

The fee payable to members for carrying out their duties is set by the Remuneration Authority. The member’s positions are part-time, with the meetings schedule determined by the Chair. Members are required to spend time preparing for meetings and on other Code Committee matters. 

Remuneration consists of:

• A daily rate, currently $900, with part days (of less than 6 hours) being pro-rated on the basis of an 8 hour day.
• The daily rate is not paid for statutory holidays, or where the incumbent is on annual leave.
• Where the incumbent chooses to contribute to a retirement scheme, including KiwiSaver, the amount of any employer subsidy, inclusive of employer superannuation contribution tax, must be deducted from the daily rate stated above.
• If travel is required, these costs are paid for by the Financial Markets Authority.

Ngā ahuatanga mou - Person specifications

The Ministry is looking for candidates who bring one or more of the following:

• Experience in financial advice, financial services, financial education, economics, law, financial capability, or another relevant field.
• Experience engaging with Pasifika communities and an understanding of their interests and cultural needs in relation to finance and financial products.
• Experience advocating for people, organisations or kaupapa in your community on financial matters, for example with banks, financial advisers, or retirement schemes.
• Experience supporting people dealing with disputes over financial products or helping with financial education.
• Experience engaging with stakeholders and ensuring multiple views are well represented and understood.
• Experience in leadership, compliance, organisational change, consultation, implementation of frameworks and practices, regulatory systems, ethics, education, digital systems or in another relevant area.
• Experience engaging with hapū/iwi or Māori and an understanding of their interests and cultural needs in relation to finance and financial products. For example:
• Experience in post settlement entities and/or commercial asset management.
• Working with or for particular iwi groups.
• Working with or for Māori community groups or initiatives.
• Involvement in community or business groups for example, business or school boards, not-for-profit community/marae groups, environmental, social or cultural kaupapa.

Te Whakaatu Whaipānga  - Disclosure of interest

Members of the Committee must be aware of the importance of personal integrity and the need to declare conflicts of interest, either potential or actual. A conflict of interest arises where a prospective or existing member (or a person in a close relationship with that member) has an interest which conflicts (or might conflict, or might be perceived to conflict) with the interests of the Committee itself. A conflict of interest will not necessarily bar an appointment, although a serious conflict may mean a candidate is not suitable for appointment, or should resign if a significant and unmanageable conflict arises during the term of appointment.

Clause 30 of Schedule 5 of the Act applies certain provisions of the Crown Entities Act to Committee members, including in relation to confidentiality of committee work and disclosure of potential conflicts of interest.

Before a person is appointed to the Committee, the person will be required to disclose to the Minister the nature and extent (including monetary value if quantifiable) of all interests that the person has at that time, or is likely to have in matters relevant to the operation and functions of the Committee.

Kōrero Tāpiri - Additional information

For enquiries about the position, email: board.appointments@mbie.govt.nz

For more information about the Committee, see the Code’s website(external link).