Important information about Frank Wealth Limited
Licence information
Frank Wealth Limited (FSP1011429), trading as Frank Wealth, is a Financial Advice Provider (FAP) licenced and regulated by the Financial Markets Authority (FMA) to provide financial advice services.
Our financial adviser
Angela McKnight (FSP 487787) is a financial adviser who gives financial advice on behalf of Frank Wealth Limited.
Nature and scope of our advice
We provide financial advice on:
· Investment planning and investment portfolios
· Financial projections and retirement planning
· KiwiSaver
We advise on a wide range of investment products, including listed New Zealand and global shares, New Zealand and global fixed interest (bonds), and managed funds. We may use external research from providers such as Mapua Research, Consilium, Value Line and Morningstar.
Limitations on our advice
We do not give advice on insurance, mortgages or other lending, and we do not give tax or legal advice.
We may also share class financial advice, general information and market commentary. This does not take your personal circumstances into account, so please talk to us before acting on it.
Frank Wealth treats all clients as retail clients regardless of whether they meet the criteria for Wholesale investor status. Retail clients (non-wholesale) enjoy a higher level of regulatory protection. This includes more detailed disclosures and access to a free, independent dispute resolution scheme.
All client investments are held on one platform, Consilium Wrap, with custody provided by FNZ Custodians Limited. We do not use any other platform.
Product providers
Consilium NZ Limited (Consilium) is the provider of the Synergy Investment Programme (Synergy), KiwiWRAP KiwiSaver Scheme (KWKS) and the Evidential KiwiSaver Scheme (EKS), of which we may recommend to you. In addition, Consilium is the issuer of Evidential Investment Funds (Evidential), a registered scheme that is included as an investment option for KWKS and as an investment for some of the Synergy portfolios.
FNZ Custodians Limited (FNZ) is the independent custodian we recommend and is also the custodian for Synergy and KWKS. FNZ is not associated with Frank Wealth. This means that investments held on behalf of our clients are placed with the organisations invested in, through FNZ.
We access the custodial services of FNZ through Consilium Wrap, a wrap platform provided by Consilium. This is the only wrap platform we use.
Fees
We do not charge an implementation fee or an initial planning fee.
Our ongoing advice fee is a percentage of the value of the investments we advise on. The maximum fees are:
· Portfolio advice fee: up to 1.00% a year, plus GST (where applicable)
· KiwiSaver (KiwiWRAP) advice fee: up to 0.75% a year, plus GST (where applicable)
· KiwiSaver (Evidential) advice fee: up to 0.50% a year, plus GST (where applicable)
The exact fee depends on the size and complexity of your portfolio. We will confirm your fee in writing in your Statement of Advice before you agree to our services.
Our advice fees are deducted monthly from your cash account by the custodian and paid to us.
We do not charge an exit or termination fee. Our advice fee stops when our service ends, and you only pay fees up to that date.
Other fees (not paid to Frank Wealth):
Consilium Wrap charges an administration and custody fee on a sliding scale of up to 0.25% a year, reducing for larger portfolios. It is deducted monthly from your portfolio’s cash account and is currently exempt from GST.
The KiwiWRAP and Evidential KiwiSaver schemes charge their own administration and fund fees, as set out in each scheme’s Product Disclosure Statement.
There may be other costs associated with your investments. Your Statement of Advice will set out your fees and costs for your portfolio.
Conflicts of interest, commissions and incentives
Frank Wealth is paid only by the fees you pay us. We do not receive commissions, brokerage, payments or other incentives (including non-cash benefits) from Consilium or any other product provider. Any rebates paid in relation to your investments are passed back to you and are not kept by Frank Wealth. This helps reduce potential conflicts between our interests and yours.
We are required to put your interests first, and we do not let any conflict influence our advice. If a conflict of interest arises, we will identify and disclose it to you and take appropriate steps to manage it.
Frank Wealth has no ownership interest in Consilium and no contractual obligation to recommend its products. We review the platform and products we use regularly to check they remain suitable for our clients.
We have a conflicts of interest policy. Our advisers complete annual training on managing conflicts, and our advice is independently reviewed by an external compliance provider on a regular basis.
Our duties
Frank Wealth Limited, and anyone who gives financial advice on our behalf, has duties under the Financial Markets Conduct Act 2013 relating to the way we give advice. We are required to:
· give priority to our clients’ interests;
· exercise care, diligence and skill;
· meet standards of competence, knowledge and skill set by the Code of Professional Conduct for Financial Advice Services; and
· meet standards of ethical behaviour, conduct and client care set by the Code of Professional Conduct for Financial Advice Services.
This is only a summary of our duties. More information is available by contacting us, or on the FMA website at https://www.fma.govt.nz.
Reliability statement
Neither Frank Wealth nor any of its financial advisers has been subject to a reliability event. A reliability event is something that might materially influence your decision to seek advice from us. It includes, within the last five years, being publicly disciplined, being the subject of a successful civil or criminal proceeding or regulatory action relating to financial markets or financial services, or being convicted of a crime involving dishonesty. It also includes being discharged from bankruptcy or a no-asset procedure within the last four years.
Complaints
If you are not satisfied with our financial advice service, you can make a complaint by emailing angela@frankwealth.co.nz or calling 021 075 3526.
When we receive a complaint, we will follow our internal complaints process:
· Where possible, we will try to resolve your complaint straight away.
· If we cannot, we will acknowledge your complaint within 2 working days. We may contact you for more information.
· We aim to resolve complaints within 10 working days of receiving them. If we need more time, we will tell you when you can expect a response.
· We will contact you by phone, email or letter to tell you whether we can resolve your complaint and how we propose to do so.
If we cannot resolve your complaint, or you are not satisfied with how we propose to resolve it, you can refer it to our dispute resolution scheme, Financial Services Complaints Limited (FSCL). FSCL is a free and independent service that may help resolve your complaint. You can contact FSCL by:
· website: https://fscl.org.nz/make-a-complaint/
· email: complaints@fscl.org.nz
· phone: 0800 347 257
· post: FSCL, PO Box 5967, Wellington 6140
Privacy and data collection
To give you good advice, we need to collect personal information about your financial circumstances. We take our responsibilities under the Privacy Act 2020 seriously:
· We only collect information that is relevant to the advice we are providing.
· Accurate information is critical to our advice, so please tell us if anything changes.
· We protect the information we hold, and we securely destroy information we no longer need.
· You can ask to see or correct your personal information at any time.
· We only share your information where it is needed to provide our services, or with your consent. We may also need to share it with our regulator and with external compliance providers we engage for quality assurance.
· We have procedures for responding promptly to any data breach.
For more information, see the Privacy Policy on our website.