Real Estate Industry Briefed on Financial Advisers Act 2008
At a recent presentation to a group of Real Estate Agents managing partner John Stevens and special counsel Sharmala David assessed the implications under the new Financial Advisers Act 2008 (the Act) for Real Estate Agents. An estate or interest in land is defined as a financial product under the Act and a limited exemption is granted to Real Estate Agents to do real estate agency work only i.e duties under the Real Estate Agents Act 2008.
The various requirements for registration and authorisation for giving financial advice about real estate were considered together with the competency, conduct and disclosure obligations under the Act.
The powers of the Securities Commission for enforcement of the Act and penalties for breaches were identified and discussed.
After much discussion and participation from the audience it was evident that caution must be exercised in marketing and selling real estate in order that provisions of the Financial Advisers Act 2008 are not breached.
The Financial Advisers Act’s operative provisions are expected to be in force in 2010.
Similar issues will arise for chartered accountants, valuers and lawyers.
For any clarification and enquiries contact:
Sharmala David, Email: sharmala@johnlaw.co.nz, DDI: 04 916 0148
John Stevens, Email: john@johnlaw.co.nz, DDI: 04 916 0131
Contact details
Phone: (04) 472 0940
Fax: (04) 473 4673
PO Box 1213,
Wellington 6140
Level 5, Deloitte House,
10 Brandon Street,
Wellington 6011
DX SP20004
New Zealand