License status and conditions – Isbister Financial Services Limited (“the Company”) holds a license issued by the Financial Markets Authority (“FMA”) to provide financial advice. The Company is not bound by any restrictions on this license.
Nature and scope of advice – The Company offers a range of products including mortgages, investment and retirement planning and personal insurances.
We provide financial advice about products from a range of providers:
- For mortgages, we work with various major banks and other second tier lending companies.
- For life insurance and health insurance, we work with the major insurance companies in New Zealand.
- For KiwiSaver, we work with four providers which includes Funds Administration New Zealand, ANZ Investments, Booster Investment Management and Nikko Asset management
- For Investments we use Synergy Investment Programme, Select Wealth Management and Nikko Asset management.
In providing you with financial advice around insurance, we will only consider existing term life, trauma, income protection and health insurance policies (if any). We will not provide advice on existing whole of life or endowment products, so you will need to consult a specialist if you would like advice on those products.
Fees and expenses and amounts payable – The Company operates a fee-based service for its investment services based on the amount of funds invested. There are two fee structures. Firstly, there is an initial upfront fee based on the complexity of the planning involved, paid upon engagement. There is then an ongoing servicing fee based on the funds under management, paid monthly in arrears.
The initial planning fee may be up to $1250+gst and the ongoing servicing fee may be up to 1.4% per annum plus GST based on the value of the fund when calculated at the end of each month. As an example, a $50,000 portfolio would attract an ongoing monthly fee of around $58.33+gst and a $500,000 portfolio an ongoing monthly fee of $583.33+gst.
For Kiwisaver investments we offer general or personalized advice. We are paid a commission which is paid monthly in arrears depending on the funds under management. The commission can be up to .50%. We will also receive a sign on commission which can be up to $50, which covers administration costs.
If Nikko Asset Management is used as the Kiwisaver provider, a fee will be charged by the Company which is .25% per annum of the funds under management paid monthly in arrears.
Conflicts of interest and commissions or other incentives – Currently there are no conflicts of interest as it relates to the services provided by the Company.
The Company and our financial advisers receive commissions from the providers on whose products we give financial advice (insurers, banks and KiwiSaver providers). If you decide to take out insurance or a mortgage, or take our KiwiSaver advice, the provider
will pay a commission to the Company and to your financial adviser. The amount of commission is based on the amount of the premium or mortgage, or the KiwiSaver balance.
Management and staff of Isbister Financial Services may provide and accept gifts and gratuities within the following guidelines. The overriding philosophy is that professional integrity and honesty is to be maintained at all times. Compliance with the letter and the spirit of New Zealand laws and regulations is a mandatory element to Isbister Financial Services operations enhanced by personal and corporate integrity.
To ensure that our financial advisers prioritise our clients’ interests above their own, we follow an advice process that ensures our recommendations are made on the basis of each client’s goals and circumstances. All our financial advisers undergo annual training about how to manage conflicts of interest. We undertake a compliance audit, and a review of our compliance programme is undertaken annually by a external compliance adviser.
Complaints Process – If there are any problems, concerns, or complaints about any part of the Company’s service, you can make a complaint by e-mailing or phone 0800 472478, or in writing to Isbister Financial Services Limited 32 Thompson Drive, Papamoa Beach, Papamoa, 3118
We will consider your complaint and let you know how we intend to resolve it. To assist with the analysis of the complaint we may need to contact you to get further information.
We aim to resolve complaints within 15 working days of receiving them. If we can’t, we will contact you within that time to let you know we need more time to consider your complaint
We will contact you by phone or email to let you know whether we can resolve your complaint and if so, how we propose to do so. If we can’t resolve your complaint, or you aren’t satisfied with the way we propose to do so, you can contact our Dispute Resolution Scheme which is a free service. Their contact details are:
Financial Services Complaints Limited
Address: P.O. Box 5967, Wellington 6140
Telephone: 0800 347 257 / (04) 472 3725
Duties information –
Under the Financial markets Conduct Act 2013 the Company and its advisers are required to meet certain duties such as:
- ensuring that they meet the standards of competence, knowledge and skill as set out in the Code of Professional Conduct for Financial Advice Services; and
- give priority to client’s best interest; and
- exercise care, diligence, and skill in giving financial advice; and
- meet the standards of ethical behaviour, conduct and client care set out in the code of conduct.