Horror findings

The FMA said there were ‘‘consistent themes’’ among the advisers it reviewed: poor record keeping; a lack of awareness of care, diligence and skill obligations and the need to manage conflicts;

no records of product comparisons being provided;

some client files showed no evidence of disclosure statements being provided to clients; poor attention to needs analysis; no evidence of scope of service agreed with clients; and

no records of advice provided.

The 24 advisers were not representative of the wider adviser community.

They were chosen based on the high levels of ‘‘replacement’’ business they did in a period spanning 2011 to 2016, and whether they were particularly active during periods when insurers were offering overseas trips to places like Las Vegas as sales incentives.

None of the advisers were named by the FMA.