This week marks the start of a new era of co-operation between SHARE NZ and Newpark. We are delighted to have this opportunity to work with you, your businesses, and our team at Newpark. Most importantly we wish to reiterate that from our perspective, it is business as usual for Newpark. First of all we would like to acknowledge Darren and Adele Gannon for the enormous contribution they have made to our industry and for the lifetime of work they have put in to making Newpark the company it is today. We wish them both well for the next adventures
Same brand. Same people. Same values. Newpark is now proud to be partnered with the ShareNZ group to bring financial Advisers more choice, more options, and more independence under regulation. Rock on 2021.
Never before has your choice in an Adviser group been so important, or confusing. Whether you are a sole operator, or part of a bigger operation, the new regulatory regime means you and your business will face a multitude of new challenges. We recommend that Advisers that currently have their own clients and operate as a standalone business consider becoming a Financial Advice Provider (FAP). This enables you to control your destiny, potentially maximize revenues, and run your business the way you want to, within the confines of the new regulatory regime. Above all else that means having a proactive
Speaking at the TMM Better Business Conference in Auckland this week, most groups in attendance said the demands of the regime would require extra costs to cover audit and compliance. Groups gave varying estimates of the potential impact. Andrew Scott of Newpark Home Loans said Newpark had conducted “financial modelling” to assess the cost for advisers working under a group FAP. Scott claimed the new regime would cost advisers an additional $21,000 per year under a group FAP. Scott said: “That’s a conservative estimate, and not to make a profit, but just to break even. If you come under someone
Newpark has taken a stand to support the autonomy of its Advisers to run their own businesses their way, control their own costs of compliance, and be trusted to raise the standard of their own practices and processes from which they receive their incomes. Newpark has announced, at its conference Friday, three initiatives aligned to support Advisers in the new licensed environment. The dealer group believes its members should be Financial Advice Providers (FAPs) than than the group being the licensed entity. Chief executive Melanie Purdey says Newpark will roll out an administration hub in the New Year that will
Finally, some good news! About licensing? Yes, as you shall soon see. You may or may not be aware that there has been a lot of discussion behind the scenes of late regarding the retail banks' approach to the licensing of Advisers. That's you. Most (all) of that discussion has revolved around the 'belief' that Advisers will operate directly under the umbrella of a dealer group. That's us at Newpark. That has some serious implications. It means that Newpark would assume joint liability for your conduct and culture. It means costs would skyrocket. It means that you would effectively become