TSB bought into a stake in a KiwiSaver fund manager without having any authorised financial advisers on staff.
TSB became Fisher Funds’ second-largest shareholder, with a 26% stake, when it backed its acquisition of TOWER’s investment business last month.
But its first priority now is upskilling its staff as it does not have anyone qualified to advise on investments.
Morrison Co, previously Fisher Funds’ second-ranked shareholder after the Fishers themselves, was shunted down the ranks and did not inject any capital into the deal.
Kevin Murphy, chief executive of TSB, said the bank has no authorised financial advisers. Training staff to be able to offer KiwiSaver products was a priority.
TSB had offered KiwiSaver products through SuperLife. Murphy would not say how many customers it had placed with the investment provider.
Murphy said despite the existing relationship with SuperLife, TSB had been looking for a way to have more presence in the KiwiSaver market. “It worked well but we were looking for greater impetus.”
He said Fisher Funds’ products, distribution and presence in the market were a good fit for TSB.
Whether the relationship with SuperLife would continue in any capacity, he would not say. “It’s early days, we’re still working through that.”
TSB would not offer Fisher Funds KiwiSaver products in its branches until staff were sufficiently qualified, he said.