Compendium
Jun 11, 2024In 2018, reviews by the Financial Markets Authority and the Reserve Bank of New Zealand highlighted regulatory gaps, noting banks and insurers' inadequate conduct risk monitoring systems. The 2022 Financial Markets Amendment Bill (CoFI) mandates financial institutions to adhere to a fair conduct principle. Despite political challenges in 2023, CoFI was retained with promises of streamlining, emphasizing risk identification and tailored Fair Conduct Programs (FCPs) for financial firms.
Observations
Oct 05, 2021The New Zealand Financial Markets Authority (FMA) is urging firms to reach out with questions on the Financial Markets (Conduct of Institutions) Amendment Bill as it awaits its second reading. The bill will introduce licensing for financial services firms administered by the FMA, ban sales incentives based on volume, and require firms to have strong conduct risk management regimes.
