New Zealand Legislation: Acts

26 Disclosure by qualifying financial entity

• (1) This section applies—

  • (a) if a financial adviser (A)—

    • (i) is not an authorised financial adviser; and

    • (ii) is an employee or agent of a QFE; and

    • (iii) performs a financial adviser service in relation to a category 2 product in the course of the QFE's business; or

  • (b) if a financial adviser (A)—

    • (i) is not an authorised financial adviser; and

    • (ii) is an employee of a QFE; and

    • (iii) performs a financial adviser service in relation to a category 1 product of which the QFE is the issuer in the course of the QFE's business.

  (1A) In this section, the financial adviser service means a financial adviser service referred to in—

  • (a) subsection (1)(a)(iii); or

  • (b) subsection (1)(b)(iii).

  (2) In any case to which this section applies,—

  • (a) before (or, if not practicable before, as soon as practicable after) A performs the financial adviser service, the QFE must disclose the information prescribed by regulations to the person for whom the financial adviser service is performed; and

  • (b) A has no obligation of disclosure.

  (3) For the purposes of this section, regulations may prescribe disclosure in relation to any or all of the following matters:

  • (a) the QFE’s dispute resolution arrangements:

  • (b) matters required to be disclosed by the QFE’s terms and conditions of grant of QFE status:

  • (c) whether the QFE provides any other licensed service.

  (4) Regulations may prescribe the form of disclosure.

  Section 26(1): substituted, on 28 July 2009, by section 7 of the Financial Advisers Amendment Act 2009 (2009 No 24).

  Section 26(1A): inserted, on 28 July 2009, by section 7 of the Financial Advisers Amendment Act 2009 (2009 No 24).