What can an AFA advise you on?
With so many people out and about giving advice on a wide range of products and pulling you in different directions, it can feel overwhelming trying to get guidance on your path to financial independence. As Elizabeth Kerr questioned in a piece for interest.co.nz on February 17, how many property advisers are just there to take your money, and how many are actually giving you the advice you need?
"Property investment advice is not considered financial planning, therefore is not covered by the same AFA guidelines that financial planners are," she wrote in the piece.
This is an important distinction to make whenever you're seeking out property investment advice. An Authorised Financial Adviser, or AFA for short, is bound by laws and regulated by the Financial Markets Authority to make sure they give the right guidance to people on certain big-ticket items.
If you work with someone who isn't an AFA, then you should make sure they advice they give you is only on what they are qualified to speak about. This includes:
- Bank deposits
- Bonus bonds
- Debt securities
- Shares in co-operatives
And more, but when you want to speak about land investment and get the right advice, it's important to remember that only an AFA or Qualifying Financial Entities Adviser (QFE) is legally able to give you this information.
According to a 2013 report on the AFA industry by the New Zealand Herald, there were 1,921 such advisers operating in New Zealand. That includes us here at Goodlife! We want you to get the right advice and guide you on the road to financial independence, without the risk of poor guidance that could lead you astray.
We can assess your situation with confidence, and help you find a residential investment property to suit your budget that will set you up with great gains. Alternatively, we can act as advisers on the plans you already have in place – it's that easy.
Here's to your financial independence!
Authorised Financial Adviser / Investment Property Expert
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