Financial Markets Conduct (US Futures Commission Merchants) Exemption Notice 2020

Summary: The Financial Markets Conduct (US Futures Commission Merchants) Exemption Notice 2020 provides relief to accredited NZX derivatives participants that are domiciled in the US and registered as futures commodity merchants (FCMs) with the Commodity Futures Trading Commission. View the exemption.

It provides a complete exemption from regulations 238-250 of the Financial Markets Conduct Regulations 2014, which impose requirements on derivatives issuers relating to the holding and application of investor money and property. The exemption is conditional upon FCMs instead holding investor money and property in accordance with applicable US law requirements. This is a renewal of an existing exemption, with no material changes. The exemption has been renewed for a five month period only.