You will hold your own financial advice provider licence and engage nominated representatives to work with you.
You can apply for your transitional licence online from Monday 25 November 2019.
You can only use nominated representatives under a transitional licence if before applying for your licence you are a QFE, or a firm registered on the Financial Service Providers Register that provides class advice through unregistered staff.
Anyone you’re engaging to provide advice must be either a financial adviser or a nominated representative – they cannot be both.
Only recommend financial products that comply with the FMC Act
Ensure you follow the new disclosure regulations and make sure your client understands the information they are given – we expect draft disclosure regulations to be released for consultation soon
Comply with any licence conditions we may include when granting your licence as well as those set in law
Make sure anyone providing advice on your behalf complies with duties 1-7
Have appropriate processes and controls in place to allow you to control the advice being given by any nominated representatives and the circumstances in which it is given. You must also ensure all nominated representatives comply with these processes
Tell the FMA if you materially contravene your obligations or make significant changes to your business
Transitional licence application fee (payable to the FMA)
$405 (ex GST)
Full licence application fee (payable to the FMA)
$922 (ex GST) for standard applications
For complex applications that take longer than four hours, we will notify you and charge $155 per hour for any additional time
Annual FMA levy (payable to the Companies Office at FSPR annual confirmation)
$225 (ex GST) for the financial advice provider plus $179 for each nominated representative.
Note if your business is the financial advice provider and you’re a financial adviser, don’t forget to include yourself when working out the costs. For example, if you engage two nominated representatives to work with you, your total cost will be $848 ex GST ($225 + $265 + $179 x 2)
FSPR annual confirmation fee (payable to the Companies Office)
$75 for the financial advice provider. If you are a financial adviser, you will also need to pay $75 for yourself
Initial FSPR registration fee (payable to the Companies Office)
$300 (ex GST) plus $460 levy (ex GST) if registering a new entity on FSPR