Page last updated: 15 March 2021

When changes come into effect

Below are the various steps that must happen to implement the changes. For indicative dates, see the timeline from the Ministry of Business Innovation and Employment (MBIE)

August 2017
Financial Advice Code Working Group begins developing new Code of Conduct – (this started in August 2017).

December 2017
Bill referred to the Economic Development, Science and Innovation Committee.

February 2018
Submissions on the Bill closed.

July 2018
Select Committee report due.

April 2019
Parliament passed the Bill and it received Royal Assent.

May 2019
The Minister of Commerce and Consumer Affairs approved the new Code of Conduct.

Ongoing
New regulations are developed, consulted on and finalised.

Monday 25 November 2019
Transitional licensing opens and applications for a transitional licence are accepted until 15 March 2021.

Monday 15 March 2021
Full licensing opens and the new financial advice regime begins.

  • Transitional licences come into effect and all financial advice providers with retail customers must now hold a transitional licence. A transitional licence is valid for up to two years and enables financial advisers and nominated representatives to continue providing the advice they were legally able to provide before the new regime was introduced. This gives you time to meet any new competence, knowledge and skills standards needed.
  • To continue providing advice, all financial advisers and nominated representatives must be engaged by a financial advice provider with a transitional licence.
  • New regime and new Code of Conduct comes into effect.
  • All new obligations and duties apply.
  • Competency exemption comes into effect. You can continue providing the advice you were legally allowed to provide before the new regime came into effect while you work towards achieving the new competency standards.
  • You can now apply for a full licence.
  • Financial Advisers Act repealed.
  • FMC Act and FSP Act amended to reflect new regime (to the extent not already done).

16 March 2023
All transitional licences expire and advice can no longer be provided under a transitional licence. If you’re a financial advice provider, you must have a full licence to continue providing financial advice. If you’re not applying for your own licence, you must be engaged by a licensed financial provider who covers you under their licence. The competency exemption also expires and you must meet the competency requirements under the Code of Conduct.