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Financial Markets Conduct Act 2013

Dealing in financial products on markets - Purposes, overview, and interpretation - Relevant interests

236: Extension of basic rule to powers or controls exercisable through trust, agreement, etc

You could also call this:

"Having control through a trust or agreement is still having control"

Illustration for Financial Markets Conduct Act 2013

You have a power or control if you can exercise it through a trust or an agreement. This can happen even if the trust or agreement is not legally enforceable. You can have this power or control even if you are not a party to the trust or agreement.

You can find more information about what powers or controls are included in section 235. This rule applies to trusts and agreements that you are a part of, or ones that you are not. It also applies whether or not the trust or agreement is legally enforceable.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4091301.

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235: Relevant interests in financial products (basic rule), or

"What it means to have a say or control in a financial product"

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237: Extension of basic rule to interests held by other persons under control or acting jointly, or

"When others control financial products for you or do what you say, it's like you own them."

Part 5Dealing in financial products on markets
Purposes, overview, and interpretation: Relevant interests

236Extension of basic rule to powers or controls exercisable through trust, agreement, etc

  1. A person has a power or control referred to in section 235 if the power or control is, or may at any time be, exercised under, by virtue of, by means of, or as a result of a revocation or breach of, a trust or an agreement (or any combination of them).

  2. Subsection (1) applies regardless of whether or not the trust or agreement is legally enforceable or whether or not the person is a party to it.

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