Milford action should boost confidence: NZSA

It was revealed on Thursday that the FMA had reached a settlement with Milford. The fund manager is to pay $1.5 million.

The FMA said trading by one of Milford’s staff had breached market manipulation provisions and the Milford board had insufficient monitoring of trading activity.

The FMA is still conducting enforcement activity with the person in question, who is on extended leave.

FMA chief executive Rob Everett said the FMA was looking to raise the bar on management oversight more generally. “The board and management needs to be on top of what’s in place and need to have checks in place to ensure visibility of the operation.”