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Financial Markets Conduct Act 2013

Dealing in financial products on markets - Licensing of markets for trading financial products - Changes to licences

322: Variation of conditions

You could also call this:

"The Minister can change the rules of a licence at any time and you will be told in writing."

Illustration for Financial Markets Conduct Act 2013

The Minister can change the conditions of a licence at any time after it is issued. You will get a written notice if the Minister decides to make changes. The Minister can make these changes on their own or if a licensed market operator asks them to.

The Minister can only make changes on their own in certain situations, such as if there is a big change in the market that affects the licence conditions, having regard to the matters referred to in section 308, or in accordance with section 343. The Minister must follow a specific procedure, set out in section 324(1), before making any changes.

If you are a licensed market operator, you can ask the Minister to change the conditions of your licence by applying in the way specified by the FMA. You must give the FMA or the Minister the information they need to consider your application. When we talk about changing the conditions of a licence, this can include adding, removing, or substituting conditions, which is what we mean by "vary".

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4091474.

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Part 5Dealing in financial products on markets
Licensing of markets for trading financial products: Changes to licences

322Variation of conditions

  1. The Minister may, on his or her own initiative under subsection (2) or on the application of a licensed market operator, vary the conditions of the licence at any time after the licence is issued by written notice to the licensed market operator.

  2. The Minister may vary the conditions of the licence on his or her own initiative only—

  3. in 1 of the following circumstances:
    1. if there is a significant change in market circumstances that the Minister is satisfied makes it necessary to vary the conditions, having regard to the market operator obligations and the matters referred to in section 308; or
      1. in accordance with section 343; and
      2. after following the procedure set out in section 324(1).

        1. A licensed market operator may apply, in the manner that is specified by the FMA, for the Minister to vary the conditions of the licence.

        2. A licensed market operator must provide to the FMA or the Minister the information that is required by the FMA or the Minister to assist it in determining the application.

        3. For the purposes of this subpart, vary, in relation to the conditions of a licence, includes to vary, revoke, add to, or substitute any of those conditions.