MEDIA RELEASE
3 February 2005
INDUSTRY WELCOMES
SECURITIES COMMISSION FINDINGS
“The Investment Savings and
Insurance Association (“ISI”) welcomes the release of the findings of the
Securities Commission inquiry into the practices of fund managers”, said Vance
Arkinstall, Chief Executive, Investment Savings and Insurance Association.
“The questionable practices of
fund managers uncovered in the USA in late 2003 were serious and cast a cloud over the
global industry. The investigation in NZ by
the Securities Commission was an important step in the process to remove investor doubt
which may exist in this country. We are
pleased that the findings of the Commission confirm our belief that the unacceptable
practices in the US have not been repeated in NZ. It
will provide great comfort to NZ investors that this independent inquiry has been
completed and provides a clear report in respect of NZ industry practices”, said Mr
Arkinstall.
“The findings of the NZ
Securities Commission are consistent with the results of a similar inquiry conducted by
ASIC in Australia. ASIC also provided a clean
report (August 2004) in Australia”, Mr Arkinstall noted.
“Increasing personal savings and
investment are key issues for many New Zealanders. The
release of the Securities Commission findings will provide added confidence for investors
in the governance of managed funds (superannuation and unit trusts) in NZ. The outcomes of the Task Force on financial
advisers later this year and the prospect of a budget announcement by Government on
improvements for taxation of these investments will provide further opportunities for
increased investor confidence”, said Mr Arkinstall.
“The findings from this inquiry
will be a comfort to current and future investors in the investment and savings industry”,
said Mr Arkinstall.
For further information
contact:
Vance Arkinstall, Chief Executive
