KEY POINTS:
Financial advisers have been told not to be negative about impending legislation which will impact on their activities.
In fact, they should look upon it as a chance to increase business.
This was the underlying message delivered by Simon Blair, Sovereign's managing director, to a gathering of advisers in Christchurch last night.
Blair told the group that regulation did not automatically signal an "end of independence" for the country's network of advisers and brokers.
Rather than being a 'harbinger of doom' in terms of the impending industry change, Sovereign was of the view that "change created opportunity", he said.
Blair cautioned advisers to "wait for the ink to dry on regulation" before they committed themselves to any one or an irrevocable course of action.
He said the potential existed for key elements of the proposed regulations to change as the legislation went through the consultation process, and there was a number of options advisers could adopt to address their obligations.
Blair said Sovereign believed there was still considerable growth potential in the market.
"When you consider events surrounding finance companies and the impact of wider economic forces then it is at times like this when the benefits of a business approach that is strongly grounded in prudential management comes to the fore".
- NZHERALD STAFF
