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Financial Markets Conduct Act 2013

Governance of financial products - Governance of managed investment products - Registration

127: Initial and ongoing registration requirements for all managed investment schemes

You could also call this:

"Rules for registering and running a managed investment scheme in New Zealand"

Illustration for Financial Markets Conduct Act 2013

When you register a managed investment scheme, it must meet some requirements. You cannot choose a name for your scheme that is misleading, offensive, or breaks another law. Your scheme's governing document must follow the rules set out in sections 135 to 137.

You need a licensed manager to oversee your scheme, and their licence must cover managing the scheme. You also need a licensed supervisor to watch over your scheme, and their licence must cover supervising the scheme. The manager and supervisor cannot be the same person or related to each other. The scheme's property must be held by the supervisor or someone else who meets the custodianship requirements in section 156.

However, if you have a restricted scheme, some of these rules do not apply, such as having a licensed manager or supervisor. This is because a restricted scheme is different from other schemes, and some rules in the Financial Markets Supervisors Act 2011 do not apply to it.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4091112.

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126: Application for registration, or

"How to register a managed investment scheme with the Registrar"

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128: Additional initial and ongoing registration requirements for KiwiSaver schemes, or

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Part 4Governance of financial products
Governance of managed investment products: Registration

127Initial and ongoing registration requirements for all managed investment schemes

  1. Every registered scheme must meet the following registration requirements:

  2. it must not have a name that, in the opinion of the Registrar, is misleading or offensive or the use of which would contravene an enactment; and
    1. its governing document must comply with sections 135 to 137; and
      1. it must have a licensed manager designated or appointed under the governing document (or this Act) whose licence covers management of the scheme; and
        1. it must have a licensed supervisor designated or appointed under the governing document (or the Financial Markets Supervisors Act 2011) whose licence covers supervision of the scheme; and
          1. the manager and the supervisor of the scheme must not be the same or associated persons; and
            1. the scheme property must be held by the supervisor or another person who meets the custodianship requirements in section 156 (to the extent that it is not held directly by scheme participants).

              1. However, subsection (1)(c) to (e) do not apply to a restricted scheme (and any reference in this Act to a supervisor in relation to a registered scheme does not apply in relation to a restricted scheme (unless the context otherwise requires)).

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