GoodReturns | NZ’s financial adviser news-item centre

0 Comment

TMM - News

Mixed response to full licensing details

Sarah Johnston

Tuesday 23rd of June 2020

Last week, the Financial Markets Authority opened consultation on the proposed full licence standard conditions for financial advice providers, as part of the new regulatory regime.

The FMA is proposing three licence classes for financial advice providers (FAPs).

Class A licences will apply to advisers who give advice on their own, as part of a one-adviser business.
Class B licences will be for firms that have multiple advisers but no nominated representatives.
Class C licences permit the holder to engage nominated representatives or another entity.

The FMA is considering eight standard conditions for full licences: record keeping, internal complaints process, regulatory returns, outsourcing, professional indemnity insurance, business continuity and technology systems, ongoing capability, and notification of material changes.

Record-keeping and internal complaints are the same conditions as will apply to transitional licences.

Want to read the full article?

Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.

You will also be able to comment on articles on Good Returns.

Previous Article Next Article