403When FMA may impose permitted conditions

1. The FMA may, by written notice to the applicant or licensee,—

2. impose conditions on a licence when the licence is issued; and
3. vary, revoke, add to, or substitute any conditions of licence imposed under this section at any time after the licence is issued.

4. A condition referred to in subsection (1) may only be of a prescribed kind or relate to a prescribed matter (except as set out in subsections (3) to (5)).

5. A condition referred to in subsection (1) may—

6. impose limits or restrictions on the services that are covered by the licence (for example, by reference to particular financial products or other financial advice products, issuers, investors, or clients, or classes of financial products or other financial advice products, issuers, investors, or clients, or by reference to any other matters):
7. impose conditions relating to the requirements referred to in section 396 or 400 (for example, to ensure that those requirements continue to be satisfied and to require verification that those requirements continue to be satisfied):
8. specify the date of expiry of the licence (the expiry date).

9. In the case of a licence relating to a financial advice service, a condition referred to in subsection (1) may also—

10. state which types of financial advice may, or may not, be given by the following on behalf of the licensee or an authorised body:
    1. financial advisers in general, a class or classes of financial advisers, or 1 or more particular financial advisers:
    2. nominated representatives in general, a class or classes of nominated representatives, or 1 or more particular nominated representatives:
11. authorise the licensee or an authorised body (P) to do either or both of the following:
    1. engage an entity to give regulated financial advice to P’s retail clients on P’s behalf:
    2. engage an individual through 1 or more interposed persons (as described in section 431E(b)) to give advice to P’s retail clients on P’s behalf:
12. if the licence includes an authorisation under paragraph (b), impose limits or restrictions on that authorisation (including, for example, by requiring the entity or an interposed person to be authorised by a licence (whether as licensee or an authorised body) to provide a financial advice service, or to be registered under the Financial Service Providers (Registration and Dispute Resolution) Act 2008, or both):
13. prohibit (whether absolutely, in specified circumstances, or unless specified requirements are met) P from engaging a financial adviser to give regulated financial advice on P’s behalf if P knows or ought to know that the financial adviser is also engaged by another financial advice provider to give regulated financial advice on that other provider’s behalf:
14. if P may be an intermediary in relation to the provision of any relevant service or associated product to consumers (as those terms are defined in subpart 6A), impose requirements to ensure that those consumers are treated fairly (and those requirements may relate to any aspect of P’s involvement in the provision of those services or products regardless of whether it involves P giving financial advice).

15. In the case of a licence to act as an administrator of a financial benchmark, a condition referred to in subsection (1) may also impose conditions to achieve the purposes set out in section 448B (for example, to ensure that the benchmark complies with applicable international requirements).