Update on financial markets overhaul

The Financial Markets Conduct Act 2013 is in the process of
completely overhauling New Zealand’s financial markets laws. We are currently approaching the end of the
transition period, in which our existing capital markets and financial services
legislation, most notably the Securities Act 1978, is being phased out and
replaced by the new Act. The Act is
supported by regulations, which set out the more detailed aspects of the new
laws.
In November 2015, the Financial Markets Conduct Amendment
Regulations 2015 were published, which supplement and amend the existing
regulations. In many cases, the
amendment regulations aim to deal with practical issues which were identified
as the previous regulations were implemented.
Two key changes include new provisions relating to: (i)
simplified disclosure requirements for offers of certain debt and equity
securities; and (ii) new prescribed disclosure requirements for offers of
financial products which will or may convert into other financial products.
If you are involved in financial markets (including issuing
shares in small business), we recommend that you seek advice on how the new
laws may affect you.
The government continues to receive submissions and is
expected to publish a further update later in 2016.
Image courtesy of reynermedia.
COMMENTS (0) Post a Comment
← BACK TO NEWS