In general terms, a MIS pools money from a number of investors who rely on the investment expertise of the MIS manager. The definition in the FMC Act (section 9) is broad and includes a wide range of collective investment schemes. These schemes can be structured in different ways and may invest in a wide range of investments. They can be open-ended (offered continuously) or close-ended (fixed number of managed investment product). Examples include:
A discretionary investment management service (DIMS), insurance contract, or a scheme that only involves managing separate and direct interests in underlying property are not considered to be a MIS and would need a separate licence to provide DIMS.
Before you apply for a licence
We’re here to help you, but there are also some things you can do to ensure your application runs as smoothly as possible:
How to apply
Please contact us to get a copy of a licence application, either by email fmcapplications@fma.govt.nz or phone 0800 434 567. Download the Licensing Checklist PDF.
Note: MIS manager licence applications take time to get right, so get in early: based on our experience, we expect your MIS application will involve at least some engagement with us before it is ready to be approved. Some applications will take longer than others and therefore require more input from us.
Our assessments are tailored to your business: our assessments are adapted to the unique aspects of your business, such as its size, nature and complexity but you must meet the legal requirements in the FMC Act and applicable regulations. Where a particular standard does not seem relevant to your application, you will need to explain how you came to that view. You will also need to explain how you will meet the intent of that standard, and the summary statement for that particular category. In limited cases, we will consider requests for an exemption from certain requirements of the Financial Markets Conduct Act.
Licensing guide PART A
This guide contains information about the licensing process and includes many FAQs you might have and explains how to use our online application form(currently unavailable); create a RealMe® identity, if you don't already have one and pay your licensing fee.
Download the licensing guide Part A: How do I apply for a licence? PDF.
Licensing guide PART B
This guide contains all the specific questions you’ll be asked and the minimum standards you’ll need to show you meet. It also details the information and supporting documents you’ll need to provide when you submit your application.
Download the licensing guide Part B: Managed investment scheme (MIS) manager PDF.
Related guides and documents
Businesses providing property investment schemes or property syndication funds, or forestry managed investment schemes, also need to get their licence application in as soon as possible.
This licensing guide for MIS managers of forestry schemes supplements Part B of our licensing application guides. It explains to businesses providing an MIS service of a forestry scheme on how to approach their licence application under the FMC Act.
Download the Licensing guide for MIS managers of forestry schemes PDF.
We have granted some compliance obligations exemptions as below:
In your application, you'll need to demonstrate how you can meet the minimum standards and conditions for your licence - or ask us for a limit or variation using the forms below. This is very important because when a licence is granted, they contain conditions that support your licensee obligations. They include conditions imposed by the FMC Act, the regulations, and any conditions imposed by the FMA.
Download Standard Conditions for managed investment scheme manager licences PDF.
Application for approval of a single person self-managed superannuation scheme as a Schedule 3 approved scheme should be lodged to compliance@fma.govt.nz
The sole member of the scheme must be one of the trustees of the scheme or if the scheme has a sole corporate trustee one of the Directors of the corporate trustee. The fee payable with the application is currently $178.25 including GST and will be billed to the applicant.
Ongoing obligations once approved are:
The accounts must be completed within 5 months of the balance date and a copy of the annual report and unaudited accounts must be lodged to FMA compliance@fma.govt.nz within 28 days of completion. Currently, there is no fee for the lodgement of the annual report and accounts.
Any questions regarding the trust deed content, application process or ongoing obligation can be made to questsons@fma.govt.nz
It is helpful to read the Licensing overview report alongside the guide to the FMA’s view of conduct. Together, these documents give a good indication of our areas of future focus, our overall approach to monitoring; and what we expect of licensed providers of financial products and services.
Download the Licensing overview report (2017) PDF.
SD1.0 Certificate of compliance and authority to apply (applicant or their authorised person)
SD1.1 Declaration by current/proposed director of licence applicant
SD1.2 Declaration by current/proposed senior manager of licence applicant
SD1.3 Curriculum vitae of management team member of licence applicant
SD1.4 Declaration by Independent trustee (individual) - a combined certificate and declaration
To become a licensed MIS manager you'll have to meet and maintain certain minimum standards. The key standards in the FMC Act (section 396) include:
There will also be other important requirements. You can find out more about the minimum licensing standards and conditions in our licensing guide.
Download Managed investment scheme (MIS) manager Licensing Application Guide Part B3 PDF.
Licensees obligations include notifying the FMA of certain events and providing us with information. All notifications should be emailed to the FMA at compliance@fma.govt.nz, noting the relevant obligation in the subject line of your email. You can notify us when a new director or senior manager is appointed by completing a notification form.
Changes to directors or senior managers of a licensee and/or key personnel of an authorised body
This notification form must be completed and emailed to compliance@fma.govt.nz.
We understand that some people may not be able to print, sign and scan documents at the moment, due to the COVID-19 alert levels. If that is the case for you:
Download Notification of change of director or senior manager by licensee and/or key personnel of authorised body DOC.
(Refer Financial Markets Conduct Regulations 2014 r 191).
To notify us of a change to your key people and managers as required by the licensing standard conditions, please send an email to compliance@fma.govt.nz outlining what the changes are and the qualifications and experience of the new or replacing personnel, e.g. attach their c.v.
Note that this is a standard condition for the following licence types: DIMS, crowdfunding, independent trustee (for corporates), MIS and peer-to-peer lending.
In your application, you'll need to demonstrate how you can meet the minimum standards and conditions for your licence - or ask us for a limit or variation in the application form. This is very important because when a licence is granted, they contain conditions that support your market services obligations. They include conditions imposed by the FMC Act, the regulations, and any conditions imposed by the FMA.
Licences are issued under the FMC Act. Should you wish to reference your licence and the authority under which it is granted on your marketing material including; websites, business cards, brochures or letterhead please use the following:
For licences without restrictions:
[Name of licence holder as on licence] is a licensed manager of registered schemes or
[Name of licence holder as on licence] is licensed under the Financial Markets Conduct Act 2013 as a manager of registered schemes.
For licences with restrictions:
[Name of licence holder as on licence] is a licensed manager of [type of scheme eg registered forestry] schemes or
[Name of licence holder as on licence] is a licensed to manage the [name scheme] scheme or
[Name of licence holder as on licence] is licensed under the Financial Markets Conduct Act 2013 as a manager of [type of scheme eg registered forestry] schemes or
[Name of licence holder as on licence] is licensed under the Financial Markets Conduct Act 2013 to manage the [name of scheme] scheme.
Your marketing material must not refer to your licence as an FMA licence.
A statement of investment policy and objectives (SIPO) is a document that sets out the investment governance and management framework, philosophy, strategies and objectives of a managed investment scheme and its investment funds or portfolios. Under the FMC Act, all MIS managers must ensure there is a SIPO for each MIS they manage. Except in prescribed circumstances, you must also register the SIPO with the Registrar, and must lodge any changes to the SIPO with the Registrar. For further information refer to the SIPO guidance note.
As a licensed MIS manager you'll have other ongoing obligations. For example, you must:
All licensed MIS managers are required to complete and submit an annual regulatory return. The return is a series of questions about your business and how your licensed service is used.
The initial reportable period will be 1 July 2021 to 30 June 2022. Completed returns will be due by 30 September 2022. We will notify all licensees when it is time to complete and submit the first regulatory return.
In subsequent years, licensees will be required to complete an annual regulatory return for the 12-month period ending 30 June and submit it to the FMA by 30 September of that year.
The information you provide us through the annual return helps us to:
New Zealand, Australia, Japan, Korea and Thailand are members of an arrangement called the Asia Region Funds Passport. The passport allows a managed fund based in one country to be offered more easily to investors in other participating countries. The passport arrangements are set out in the Financial Markets Conduct (Asia Region Funds Passport) Regulations 2019.
If you want to offer interests in a New Zealand registered MIS into another passport country you will first need to apply to the FMA under s 134(3) of the FMC Act for the scheme to be registered as a passport fund. For further information see here.
The FMC Act sets out minimum compliance standards of behaviour for people operating in the financial markets.
It prohibits:
Please contact us for reporting misconduct, making a complaint, or giving us a ‘tip-off’.
The Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (the Act) imposes several obligations:
The FMA supervises designated business groups (DBGs) and reporting entities listed in Section 130 of the Act. See more.