Consumers of Financial Advice in New Zealand

This study examines some key client-adviser characteristics within the New Zealand financial planning landscape. Through an online survey, participants were asked about their choice of financial adviser, their experience of financial advice and their view of the 2008 Financial Advisers Act. Descriptive results reveal a lack of knowledge in differentiating between the types of advisers and each adviser’s scope of service. Clients of financial advisers who adhere to minimum education standards are significantly different from clients who contract the services of advisers without set standards. Implications include adopting a nationwide marketing campaign and significant regulatory changes to help all consumers identify appropriate financial service professionals for their needs.