FMA censures property investor Opes Partners for licence breaches, business blames ‘rapid growth’

The Financial Markets Authority (FMA)  has censured property investment and financial advice business Opes Partners for failing to comply with several obligations under its Financial Advice Provider (FAP) licence.

The FMA said it had identified material shortcomings in Opes’ record-keeping, advice processes and the way the vertically integrated business managed conflicts of interest, all of which created potential risks for customers.

Opes Partners, based in Christchurch, is a property investment business which also offers financial, mortgage, accounting and insurance advice, along with property management services.

In a statement, the FMA said Opes’ client documentation was inconsistent, incomplete and not easily accessible, putting the company in breach of its licence and making it difficult for regulators to verify whether other obligations were being met.