Forsyth Barr fined $5k for not following orders

Photo / Glenn Jeffrey

Brokerage Forsyth Barr has been fined $5,000 for failing to carry out a client's wishes.

In March 2008, an adviser at the broking firm ignored a customer's written instruction to convert their portfolio into cash as soon as possible, deciding it wasn't in the client's best interests, according to an NZX Markets Supervision statement.

Forsyth Barr admitted the breach and agreed to pay the fine and costs incurred by the market watchdog.

The broker will also make an offer to the client to make good their loss, and will review its procedures.

NZX Supervision acknowledged Forsyth Barr believed it was acting in the best interests of the customer.