Disclosure

Milestone Direct Limited (“our”, “we”, "us"), FSP249805, trading as Milestone Direct Limited is a Financial Advice Provider (FAP) licensed and regulated by the Financial Markets Authority to provide financial advice and a Discretionary Investment Management Service (DIMS).

Nature and scope of the advice

We provide financial advice about products and services from a broad range of providers.

  • Mortgages
  • Personal risk products such as life insurance, income protection, health insurance
  • Investment
    • KiwiSaver
    • Managed Funds
    • Overseas pension transfers/QROPS
    • Direct shares and bonds
    • DIMS

Milestone Direct Limited may provide you with advice on a wide range of products from various product providers. To see a full list, click here.

Milestone Direct Limited is a licensed provider of Discretionary Investment Management Service (DIMS).

Milestone Direct Limited services exclude certain areas of personal finance. These include budgeting analysis, taxation and accounting services, legal and estate planning. We may refer you to your relevant specialist professional services provider for advice on those matters. Milestone Direct Limited may receive a referral fee should you choose to use some of these services. We will provide you with more information about this fee once we have made the referral.

Fees or expenses

Milestone Direct Limited are committed to delivering cost-effective services. Milestone Direct Limited is remunerated by way of the fees it charges you, and the fees and commissions it receives from product providers.

Fees charged by Milestone Direct Limited

We may charge a fee for the financial advice that is provided to you. If a fee is charged it will depend on the nature of the financial advice and service that we provide. Most commonly such fees may be:

  • Basic investment proposal: usually no fee.
  • Financial and retirement planning: based on an hourly rate or an upfront planning fee.
  • Mortgage broking (mortgage advice): usually no fee.
  • Insurance broking (insurance advice): usually no fee.

In all instances, the exact fees we may charge, if any, will be confirmed at the time the advice is provided and agreed upon by you beforehand. All our fees are payable within seven days of the date you receive the invoice.

Fees charged by investment product providers

You will be charged a fee by the provider you place your investments in. The amount of this fee depends on a number of factors such as the provider and the amount you are investing. More information about these fees will be described in the Product Disclosure Statement that will be provided to you.

Fees charged by insurers

You will need to pay a premium (regular fee) to the insurer to establish and maintain insurance cover. This amount will be based on several factors, including the extent of the coverage, the length of time it covers and your excess. We will provide you more specific details about these fees once we know more about your personal needs.

Fees charged by lenders

You will need to pay interest (a regular charge) to the lender to obtain and maintain the lending. This amount will be based on several factors, including the sum of the lending, conditions, and term or terms. We will provide you more specific details about these fees once we have spoken to you and learn more about your personal needs.

DIMS-specific fees

You will need to pay an ongoing fee for DIMS. This fee is based on a percentage of the total value of your investment portfolio and is charged annually. The fee is automatically deducted from your investment portfolio and will reduce the amount of the returns you receive. The exact fees we will charge will be confirmed at the time the advice is provided and agreed upon by you in writing beforehand.

The wrap platform provider and the custodian charge a fee for providing the portfolio administration and custodial service. This fee is calculated daily, paid monthly in arrears and are described in the Service Disclosure Statement and Investment proposal. The underlying fund managers will also charge you fees.

Conflicts of interest and incentives

Milestone Direct Limited advisers receive a salary as employees of Milestone Direct Limited. Staff remuneration is not solely linked to sales targets. Staff may receive a bonus based upon overall company profitability and/or a blend of measures. Promotion and pay increases are based on merit, efficiency, and effectiveness. Each staff member has key performance indicators, and these include being compliant, providing the required level of client service, client satisfaction levels, being a team player, meeting continued professional development requirements, and achieving productivity targets.

Milestone Direct Limited may be paid in the form of commission from the product providers through which we place business. The amount of the commission we receive depends on a number of factors, such as the product providers used. We will provide more specific details of the commission we receive at the time our advice is given.

Milestone Direct Limited holds distributor agreements with all recommended product and service providers, and may occasionally receive from those respective providers certain benefits, such as access to complimentary or subsidised services that support our business.

To ensure we prioritise our clients’ interests:

  • Advisers are not incentivised to promote one product over another.
  • We have policies and procedures in place to identify and manage conflicts of interest. This includes annual staff training about how to manage conflicts of interest.
  • Although Milestone Direct Limited may receive commissions, no adviser employed by Milestone Direct Limited will receive commissions.
  • We follow an advice process that ensures our recommendations are made appropriately, based on clients’ goals and circumstances.
  • We maintain registers of conflicts of interests and any gifts and incentives we may receive. These registers are monitored regularly, and additional training is provided as required.
  • We undertake an annual independent Compliance Assurance Review by Strategi Limited.

DIMS-specific conflicts of interest

In many instances, Milestone Direct Limited or our research partners have negotiated a fee rebate on managed funds held in DIMS portfolios. To help your investment grow, all DIMS rebates or commissions are paid into your account. This is transparently reported to you in your annual reports and visible in your online portal.

To ensure our advisers prioritise our clients’ interests:

  • Rest assured that investment decisions regarding portfolios are based on independent third-party investment research.
  • As advisers are employees of Milestone Direct Limited, there could be a potential conflict of interest if DIMS is recommended. This potential conflict of interest is managed by ensuring the fees charged are competitive with the industry average and that platform fees are no greater than the fees a client may pay should they subscribe directly to the OneAnswer Portfolio Service. In addition, the provider of custodial services (FNZ Limited) is independent and not a related entity of Milestone Direct Limited. FNZ Custodians Ltd, the underlying provider of custodial services for OneAnswer assets, is one of the largest providers of custodial services in NZ, recognised for platform capability and service quality.

Non-monetary benefits (soft dollar disclosure)

From time to time, Milestone Direct Limited and advisers may receive certain non-monetary benefits from product providers. This could include gratuities such as a bottle of wine at Christmas time, a free calendar, pen or book, the occasional luncheon, drinks after a briefing session, and invitations to events.

Complaints handling and dispute resolution

If you are not satisfied with our service or financial advice, please tell us as soon as possible.

Phone: 0508 645 378

Email: info@milestonedirect.co.nz

Write to: Milestone Direct Limited, Private Bag 92504, Takapuna, Auckland 0740

When we receive a complaint:

  • We will consider your complaint and let you know how we intend to resolve it. Where possible, we try to resolve your complaint immediately.
  • If we are unable to resolve your complaint immediately, we will acknowledge your complaint within 2 business days. We may contact you to get further information about your complaint.
  • We aim to resolve complaints within 10 working days of receiving them. If we need more time to investigate your complaint, we will let you know when you can expect to receive a response to your complaint
  • We will contact you by phone, email, or letter to let you know whether we can resolve your complaint and how we propose to do so.

If we cannot agree on how to fix the issue, or if you decide not to use our internal complaints process, you can contact our external disputes resolution scheme, Insurance & Financial Services Ombudsman Scheme (IFSO). IFSO provides a free and independent dispute resolution service that may help to resolve your complaint if we have not been able to do so to your satisfaction. You can contact the Insurance & Financial Services Ombudsman Scheme at:

Phone: 0800 888 202

Email: info@ifso.nz

Write to: IFSO, PO Box 10-845, Wellington 6143

Duties information

Milestone Direct Limited and our advisers have duties under the Financial Markets Conduct Act 2013 relating to the way that we give advice. We are required to:

  • give priority to your 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.

Contact details

Milestone Direct Limited FSP249805, trading as Milestone Direct Ltd is the Financial Advice Provider.

Phone: 0508 645 378

Email: info@milestonedirect.co.nz

Write to: Milestone Direct Limited, Private Bag 93504, Takapuna, Auckland 0740