Licence Status and Conditions

JBWere (NZ) Pty Ltd (JBWere or we or our or us) holds a licence to provide financial advice issued by the Financial Markets Authority. JBWere will provide financial advice directly to you or through financial advisers or nominated representatives employed by us to give financial advise on our behalf.

 

Nature and Scope

JBWere and our financial advisers provide financial advice to help clients achieve their investment goals and objectives through portfolios investing in a range of investments and services, including:

  • Listed and unlisted equities (domestic and international)
  • Fixed interest
  • Alternative assets and investment vehicles (including hedge funds, commodities and private equity)
  • Property (excluding direct property or property unlisted trusts)
  • Managed funds
  • Currency hedging through the JBWere Hedging Service
  • Margin Lending

From time to time you may receive financial advice from a nominated representative in our Investment Strategy Group or Fixed Income team. The advice from these employees will not take into account your personal circumstances, unless you are a discretionary investment management service client.

For clients joining JBWere after 31 March 2021, once you choose your scope of service, we will provide a Summary of Scope of Service document with various information and acknowledgements. This document outlines the full nature and scope of the services we agree to provide to you and the fees payable in connection with the services.

JBWere wrote to all clients that joined JBWere prior to 31 March 2021, outlining the full nature and scope of the services we agree to provide, and the fees payable in connection with the services.

JBWere and our financial advisers do not advise on any of the following:

  • Insurance
  • Taxation
  • Legal or regulatory
  • Estate planning or structuring
  • Direct property or unlisted property trusts
  • Physical assets (including real estate)
  • KiwiSaver

In addition, JBWere and our financial advisers do not provide financial advice in relation to any financial products for which we do not have an adequate basis for providing advice.

 

Fees, Expenses or Other Amounts Payable

JBWere charges fees in relation to the services we provide. Fees are charged on a funds-under-management basis (involving the regular deduction of a percentage-based fee from the client’s investment portfolio) and / or a transactional basis (such as brokerage, when a client’s investments are bought or sold), depending on the type of service provided to the client.

Each client’s Summary of Scope of Service Document outlines all relevant fees for the services we have agreed to provide. JBWere wrote to all clients that joined JBWere prior to 31 March 2021 outlining the fees payable in connection with the services.

Conflicts of Interest / Commissions and Other Incentives

Outlined below are the various relationships we have that may potentially give rise to a conflict of interest for us and a brief explanation of how these conflicts will be managed.

JBWere is an associated person of JBWere (NZ) Nominees Limited (JBWere Nominees) which provides custodial services to our clients. JBWere Nominees charges a fee for its services, and JBWere receives a management fee from JBWere Nominees in relation to those services.

JBWere is an associated person of Margin Lending (NZ) Limited which provides margin lending services to our clients and charges a fee for those services. The fees that JBWere charges on a funds-under-management basis may increase as the client portfolio size increases by the loan amount. The variable component of your adviser’s revenue would therefore also increase.

JBWere is a wholly owned subsidiary of JBWere Limited which is wholly owned subsidiary of National Australia Bank Limited (NAB). Bank of New Zealand (BNZ), also a wholly owned subsidiary of NAB, may be a lender to an entity relevant to your investment. From time to time, JBWere may recommend NAB’s or BNZ’s financial products, for which they may receive fees and we may be paid a commission.

JBWere has arrangements with Goldman Sachs New Zealand Ltd (Goldman Sachs) for the distribution of certain financial products that are offered through or by members of the Goldman Sachs group of companies. Neither JBWere or NAB is responsible for the financial services provided by Goldman Sachs and its group.

JBWere pays its advisers a salary and a variable remuneration. As a general rule, the variable remuneration is determined by the nature and the level of the fees JBWere receives from the clients of the adviser in total and will be up to 47% of this total. Therefore, the amount of fees that JBWere receives from each client will impact the level of remuneration the client's adviser receives.

Some clients pay fees based on brokerage. This means that the adviser’s remuneration increases with the number of trades that the client carries out (as opposed to a funds-under-management based fee where an adviser’s remuneration increases consistent with the increase in the value of the client’s portfolio).

JBWere may receive commissions or fees or brokerage from issuers of managed funds, fees from corporate issuers of securities, commissions or other fees payable on the sale of financial products to you, and commissions from referrals to other professionals in relation to our services provided to you.

Our advisers may attend conferences and seminars and other events subsidised in whole or in part by product providers. Eligibility to attend is dependent on meeting our internal quality standards and accreditations, and may also be based on business factors such as volume of business referred.

JBWere takes a range of approaches to managing conflicts of interest. These depend on the nature of the relevant conflict but are all designed to ensure we are always placing your interests first in whatever we do.

The ways in which conflicts are controlled or managed are as set out below:

  • Controlled: Processes are put in place to reduce the impact of a conflict. An example of a control is to ensure that knowledge of the conflicting information is shared only with those who need to know within JBWere.
  • Disclosure: The conflict is disclosed to relevant clients in a clear, concise and effective way in order to enable the client to make confident and informed decisions. Wherever possible, the disclosure is made in writing.
  • Avoid: Where the conflict cannot be managed effectively through controls and/or disclosure, it must be avoided. If the conflict is likely to have a serious impact on clients, JBWere will refrain from providing the financial service or activity.

To ensure JBWere’s financial advisers prioritise clients’ interests above their own:

  • Advisers undergo training on how to manage conflicts of interest.
  • Advisers follow an advice process that ensures recommendations are made on the basis of each client’s goals and objectives (if relevant to the scope of service agreed with the client).
  • JBWere has monitoring in place to check that conflict management processes are followed and advice is suitable for the client (if relevant to the scope of service agreed with the client).

 

Internal Complaints Process

If you are not satisfied with our financial advice services, you can make a complaint by emailing ComplaintsNZ@jbwere.co.nz, or by calling 0800 555 555 or +64 9 927 1200. You can also write to us at PO Box 2085, Shortland Street, Auckland 1142.

When we receive a complaint, we will follow our internal complaints process:

  • We will immediately notify our Head of Advice and the Head of Legal and Compliance who will ensure that the matter is notified and assessed accordingly.
  • If possible, to resolve your complaint to your satisfaction on the spot, we will do so.
  • If we are unable to resolve your complaint within 2 working days of receiving it, then within 3 working days we will contact you to formally acknowledge your concerns and let you know how we intend to resolve them.
  • We may need to contact you to get further information about your complaint to help us understand your concerns and how best to resolve them.
  • We aim to resolve complaints within 20 working days of receiving them. If we cannot, we will contact you within that time to let you know we need more time to consider your complaint and work out how best to resolve it for you.
  • You will be contacted by phone or email to let you know how we propose to resolve or otherwise deal with your complaint.

 

External Dispute Resolution Scheme

If JBWere cannot resolve your complaint, or you are not satisfied with the outcome of our internal process, you can contact Financial Services Complaints Limited (FSCL).

JBWere is a member of FSCL which provides a free, independent dispute resolution service that may help investigate or resolve your complaint if we have not been able to resolve your complaint to your satisfaction.

You can contact FSCL by emailing complaints@fscl.org.nz, or by calling 0800 347 257 (free phone). You can also write to them at PO Box 5967, Lambton Quay, Wellington 6145.

 

Duties

JBWere and our financial advisers have duties under the Financial Markets Conduct Act 2013 and the Code of Professional Conduct for Financial Advice Services (Code) in relation to giving financial advice.

We are required to:

  • give priority to your interests by taking all reasonable steps to make sure our advice is not materially influenced by our own or any of our financial adviser’s or related parties’ interests
  • exercise care, diligence, and skill in providing you with advice
  • meet applicable standards of competence, knowledge and skill under the Code
  • meet standards of ethical behaviour, conduct and client care under the Code.

More information is available by contacting us, or by visiting the Financial Markets Authority website at

fma.govt.nz/compliance/financial-advice