The Financial Markets Authority (FMA) have released three consultations for the proposed regulatory returns for licensed Class 1,2 and 3 financial advice providers (FAPs). More information about FAP licence classes is available in the Financial Services Council Financial Advice Law Guide and from the FMA.
The FMA consultations focus on the periodic regulatory return requirements under Standard Condition 3 in the Financial Markets Conduct Act (2013) that all transitional, full licence holders and authorised bodies need to comply with.
As a standard condition of a full financial advice provider licence, FAPs must complete a regulatory return each year. This requires FAPs to supply defined information about their businesses and business activities to the FMA. These consultations seek feedback on the reporting period, implementation timeline, and the information required in the return.
This will affect your FAP, for example:
Are you able to supply the information the FMA plan to require?
How much would you have to invest in systems and processes to collect the required information?
Could you complete this before FMA plan to implement regulatory returns?
Have your say by submitting your feedback to the FMA before the deadline.
The three consultations to the proposals and feedback forms are below:
Are you a financial adviser, and still unsure what you need to do to become licensed by 16 March 2023? Read our 10 myths to find out more about common misconceptions we’ve heard, and where to start the licensing process.