Why use a financial adviser
The Financial Markets Authority (FMA), which issues licenses to advisers, prefers the word adviser to broker.
Insights with Infinance by Brian Coogan
FMA protocols are set around consultative rather than transactional engagement with measures in place to ensure clients’ best interests always come first. Levels of skill and competence are maintained by engaging in continued professional development. The FMA is regulated by the Reserve Bank and has protocols that we follow.
You can go directly to a finance company, bank, insurance company or Kiwisaver provider and they will fit you out with what they have. They can’t talk about other products, just their own.
An adviser on the other hand has access to multiple providers with systems in place to compare benefits and pricing and can cherry pick the most appropriate for you in terms of benefits and pricing and they know what specials are on offer.
Adviser services are typically free, and advisers are paid a commission from where they place business. They can often go into bat for you to get better rates than offered by the provider direct.
The adviser network is considered an increasingly important part of providers’ business as there’s no cost to them until business is written, with ongoing client liaisons conducted externally, dramatically reducing overheads.
Advisers have their finger on the pulse, it’s their job and you get the benefit of their knowledge and experience, plus with direct access on their mobile or email you know you’ll get a response directly rather than a call desk and a different person each time.
Advisers provide a personal touch with Know Your Customer (KYC) at the forefront of every engagement and annual reviews to keep pace with change.
In summation, advisers have your ongoing best interests at heart and will find the most suitable options for your requirements, all at no extra cost to you.
For more on the above go to www.infinance.co.nz/insights
Written by Brian Coogan, Licensed Financial Adviser and Director at Infinance – Taupō
‘An investment in knowledge pays the best interest’ – Benjamin Franklin