Exemptions

148 FMA may grant exemptions

(1)

The FMA may, in its discretion and on any terms and conditions as it thinks fit, exempt any person or class of persons, service or class of service, or any transaction or class of transactions from—

(a)

compliance with any obligation under this Act, the regulations, or the code:

(b)

the obligation to register under the FSP Act by virtue of providing financial adviser services or broking services.

(1A)

To avoid doubt, an exemption may extend to exempt from compliance with any obligation under any provision that is implied into an agreement by the regulations.

(2)

The FMA must be satisfied, before it grants an exemption (except as provided in subsection (3)), that—

(a)

the costs of compliance with the relevant obligation—

(i)

would be unreasonable; or

(ii)

would not be justified by the benefit of compliance; or

(b)

the relevant person, service, or transaction is subject to the regulations of an overseas jurisdiction and the FMA is satisfied that, in the circumstances, the protection of the New Zealand public is unlikely to be prejudiced.

(3)

If a proposed exemption would exempt a person applying to be an authorised financial adviser from obligations imposed by the code in respect of competence, the FMA must be satisfied that the exemption would not undermine consumer protection and that—

(a)

the applicant has qualifications that are comparable to standards required by the code; or

(b)

the costs of compliance with the obligation would be—

(i)

unreasonable; or

(ii)

not justified by the benefit of compliance.

Section 148: substituted, on 1 July 2010, by section 42 of the Financial Advisers Amendment Act 2010 (2010 No 40).

Section 148 heading: amended, on 1 May 2011, by section 84(3) of the Financial Markets Authority Act 2011 (2011 No 5).

Section 148(1): amended, on 1 May 2011, by section 84(3) of the Financial Markets Authority Act 2011 (2011 No 5).

Section 148(1A): inserted, on 1 December 2014, by section 59 of the Financial Markets (Repeals and Amendments) Act 2013 (2013 No 70).

Section 148(2): amended, on 1 May 2011, by section 84(3) of the Financial Markets Authority Act 2011 (2011 No 5).

Section 148(2)(b): amended, on 1 May 2011, by section 84(3) of the Financial Markets Authority Act 2011 (2011 No 5).

Section 148(3): amended, on 1 May 2011, by section 84(3) of the Financial Markets Authority Act 2011 (2011 No 5).