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Financial Markets Conduct Act 2013

Licensing and other regulation of market services - Regulation of client money or property services - Obligations for handling client money and client property

431ZD: Provider must account for client money and client property

You could also call this:

"Keep track of other people's money and things, and tell them what's happening with it."

Illustration for Financial Markets Conduct Act 2013

If you receive or hold money or property for someone else, you must keep track of it properly. You have to make sure the person who owns the money or property gets a proper account of what is happening with it. This means you must either keep the records yourself or make sure someone else is doing it correctly, so the owner can see what is going on with their money or property.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS465984.

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431ZC: Provider must pay client money into separate trust account and hold client property on trust, or

"Providers must keep clients' money and property safe in a separate trust account."

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431ZE: Provider must keep records of client money and client property, or

"Providers must keep clear records of clients' money and property."

Part 6Licensing and other regulation of market services
Regulation of client money or property services: Obligations for handling client money and client property

431ZDProvider must account for client money and client property

  1. A provider who receives or holds client money or client property on trust for a client must account properly, or ensure that account is properly made, to the client for that client money or client property.

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Notes
  • Section 431ZD: inserted, on , by section 29 of the Financial Services Legislation Amendment Act 2019 (2019 No 8).