FMA Launches New Self-Assessment Tools for Financial Advice Providers to Prepare for Full Licensing

The New Zealand Financial Markets Authority (FMA) has announced today the roll-out of three new self-assessment tools to help financial advice providers (FAPs) prepare for full licensing, which will be added to the FAP page of the FMA website when they become available.

The tools are a response to market feedback and have been designed to assist providers to address gaps in their existing compliance approach, according to John Botica, FMA Director of Market Engagement.

"We recognise that the requirements of full licensing can seem like a big step up, particularly for smaller advice businesses. These tools are designed to help them identify the aspects of their business where they're already compliant, as well as those areas where they might need to do a bit more work in order to apply for a Class 1 or Class 2 full licence," said John Botica.

The latest tools focus on three of the seven standard conditions that apply to FAP full licences and cover record keeping, cyber security and business continuity planning, and key outsourcing arrangements.

More self-assessment tools will be developed and added to the FMA website in plenty of time for FAPs preparing to submit their full licence applications by the target date of 30 September 2022.

Last month, Fazzaco reported that FMA has set target dates​ by when all transitional financial advice providers (FAP) should apply for their full licenses.