New Zealand financial advisers must now ensure clients understand any limitations in the personalised service they receive.

The change features in the new Code of Professional Conduct for Authorised Financial Advisers.

In the old code, descriptions of the services an adviser provided were more detailed. Relief for advisers acting on client instructions where transactional advice is involved has been removed from the new code.

Commerce and Consumer Affairs Minister Paul Goldsmith says the changes aim to “improve access to personalised advice, so more New Zealanders can get advice that is tailored to their wants and needs. A robust code of conduct provides reassurance to New Zealanders that their financial adviser is bound by strong ethics and their advice can be trusted.”

Other changes include amending the minimum competence, knowledge and skills standard to require that advisers meet the New Zealand Certificate in Financial Services (level five) components relevant to their work.

Advisers who achieved this under previous standards will be allowed to continue, providing there has been no break in their authorisation and they continue to meet professional development standards.