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Do you know how much of your KiwiSaver return is made up of fees?

Check out our KiwiSaver Tracker to find out.



Thank you

Rob Everett, Chief Executive, FMA


To end the year I would like to express my thanks, on behalf of everyone at the FMA, for your engagement with us over the last year.

We put a lot of effort into performing our mandate efficiently and effectively. We appreciate the effort made by you, in turn, to showing high standards of conduct.

We’re pleased with the investor and industry reaction to our KiwiSaver Tracker. We know it could be improved, but it achieved its initial aim of triggering the interest, discussion and debate our Investor Capability Strategy calls for.


We are also pleased (and relieved) that financial advice reforms seem to be on track. And, in particular, at the strong response we’ve had to our efforts to engage with those affected by the changes.


We’re partnering closely with MBIE and engaging with the Code Working Group so we can construct a clear framework for activities that will precede transitional and full licensing. Of course the parliamentary process, including Select Committee, may yet throw up a few surprises - check our website for updates as the changes are confirmed.

We have also been in discussions with Australian regulators and government agencies about the recently announced Royal Commission into the financial services sector. We will be watching that carefully to see what lessons can be learned on this side of the Tasman.

Of course, not everyone agrees with what we do or how we do it. But as we get constructive feedback, we’re encouraged by the sense that beneath it is a genuine will to do the best for New Zealand’s financial markets, and New Zealand investors.

This is the last update of 2017 so I wish you all a restful and happy summer break.


Rob Everett

Chief Executive


Final call for eligible investors in the Hanover settlement to make a claim before 16 February 2018



Look both ways before jumping on the Bitcoin bandwagon


The news is currently full of stories about Bitcoin – selling a story about how to become a millionaire overnight. But we are receiving an increasing number of complaints from investors who’ve lost money using cryptocurrency exchanges.


For example, some investors have told us they are unable to cash out.  Other people have lost amounts from their ewallets or have been locked out of their accounts.


We strongly recommend never invest more than you can afford to lose and only buy cryptocurrencies through exchanges that:

  • are based in New Zealand
  • are a member of a dispute resolution scheme
  • hold your New Zealand dollars in a trust account
  • read our tips to learn more about cryptocurrencies and the risks to consider.

Even if you use a NZ based exchange, you will not be protected against trading losses. Buying and selling crypto currencies is highly speculative and the exchange rates for crypto currencies have historically been very volatile.

If you’re considering offering cryptocurrencies in New Zealand, read our updated guidance for issuers.


Overseas regulators warn investors


With the recent emergence of futures markets for cryptocurrencies, warnings have been issued by overseas regulators highlighting the dangers and volatility these investments can bring – see the following statements from these overseas regulators.

Changing a director or senior manager? Let us know

As part of your licence conditions, you must tell us when you appoint a new director or senior manager.  To notify us, please complete the simplified notification form which includes links to help you complete your fit and proper checks.




15 December

Consultation: Exemption to enable personalised digital advice – submissions close Friday 15 December. Read more ›

1 January

New IFRS accounting standards apply from 1 January 2018. Read more ›


Stay up to date about financial advice changes


Last week the Financial Services Legislation Amendment Bill had its first reading in Parliament and  is now at Select Committee stage.


Next year, there will be greater clarity around timelines and activities as the Bill tracks its way through the Select Committee process. We will hear more from MBIE and the Code Working Group.


We’ll keep you updated about future engagement activities including workshops, seminars and publications. Check our website regularly for the latest information, useful resources and links.


Auditor reports


Accredited body reports


See our website for our recently released annual accredited body reports.

Audit Quality Review report and director guide


This report and the accompanying guide for directors summarise our findings from this year’s audit quality reviews and provide guidance on how company directors can contribute to high-quality audits.




Key audit matters – a stocktake of the first year in New Zealand


Last month, in conjunction with the External Reporting Board (XRB), we published the results of our joint analysis of the first year of key audit matters in New Zealand auditor reporting.


It provides insights into the experience to date, to help improve auditor reporting.


Peer-to-peer lending and crowdfunding sector snapshot report

This year, licensed crowdfunding and peer-to-peer lending providers were required to submit an annual regulatory return for the first time. In November, we released a report on this information.

Refreshed Investor Capability Strategy


Our refreshed strategy broadens our focus from investors who are ‘over-50s with money’ to anyone participating in investing activities where our work indicates risk. It also makes clearer the work we do  with industry to influence how they engage with investors.


Class legislative notices summary

We have published a summary of all class legislative notices, including exemptions, designations, frameworks or methodologies, and public accountability notices granted, effective as at 1 December 2017. The summary is a good resource for stakeholders interested in a brief overview of the different types of notices we grant. You can also find these notices on the New Zealand legislation website.


More >


FMA offices closed over the holidays

Our offices will be closed from 3.30pm on Friday 22 December and will reopen on Monday 8 January.


Complaints and enquiries can still be lodged online during this period, but will not be actioned until 8 January.

What’s coming up?

Get a heads up on what we’re releasing soon



AML/CFT new and updated guidelines

On 14 December we will publish new and updated guidelines for AML/CFT reporting entities. These  aim to help  reporting entities better understand  their obligations to meet supervisors expectations. They include:


  • ordinary course of business guideline
  • designated business group formation guideline
  • designated business group scope guideline
  • explanatory note to the identity verification code of practice
  • enhanced customer due diligence guideline.



Conduct Outcomes report

This report conveys our view of the state of market conduct for 2017. It covers the key themes and cases for this year, and why we took action. It also sets out our expectations of what good conduct looks like.


Consultation on content of regulatory returns for DIMS, MIS and DI licensees.


As part of the licence conditions we will be consulting on the questions we propose to ask in annual regulatory returns.  It will also include details of the annual compliance declaration for all FMC Act licensees.


FMA news

12 December - Investor Alert: Final call for eligible investors in the Hanover settlement to make a claim before 16 February 2018


12 December - Accredited Body Reports published


30 November FMA publishes revised investor capability strategy


29 November - Key Audit Matters – A ‘stock take’ of the New Zealand experience


27 November FMA publishes first peer-to-peer/crowdfunding statistical returns


24 November - FMA issues formal AML/CFT warning to Fullerton Markets


23 NovemberFMA publishes 2017 Audit Quality Report/directors’ guide


21 November - FMA releases KiwiSaver Tracker


Industry insights

Financial Stability Report for November 2017 - RBNZ



Conflicted and other banned remuneration - ASIC



Our Future Approach to Consumers - FCA



Directors' guide for financial reporting - CA ANZ



A CFTC Primer on Virtual Currencies - CFTC


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