Financial Markets Authority (Levies) Regulations 2012

7A Meaning of relevant funds under management (class 6A)

(1)

In these regulations, relevant funds under management, in relation to a licensed DIMS retail provider (A), means the sum of the following:

(a)

the total value of the investors’ portfolios of all of the investors that use a DIMS retail service provided under A’s licence as at the end of the relevant accounting period (based on the values referred to in subclause (2)):

(b)

the cash held under the DIMS retail services provided under A’s licence as at the end of the relevant accounting period.

(1A)

Subclause (1) applies to all DIMS retail services provided under A’s licence whether provided by A itself or by an authorised body.

Example

Company A holds a licence that covers a DIMS retail service. A’s subsidiaries, B and C, also provide DIMS retail services under A’s licence (as authorised bodies).

The total value of investors’ portfolios (and cash) for A’s service is $1 billion. The amount for B’s service is a further $500 million and the amount for C’s service is $200 million. The relevant funds under management are $1.7 billion in total.

A must pay a levy of $27,600 under class 6A (see paragraph (b) of the item relating to class 6A in the levies table).

(2)

The values of investors’ portfolios must be based on—

(a)

the current value of the financial products in the investors’ portfolios (as at the time referred to in subclause (1)(a)); or

(b)

the most recent valuation of those financial products that was available at the time.

(3)

If the date of a valuation is earlier than 3 months before the end of the relevant accounting period, the valuation may be used for the purposes of subclause (2)(b) only if the licensed DIMS retail provider is satisfied, on reasonable grounds, that the valuation is likely to be reasonably consistent with the actual current value of the financial products (as at the time referred to in subclause (1)(a)).

(4)

In this regulation,—

due date means the due date for supplying an annual confirmation to the Registrar of Financial Service Providers under section 28 of the FSP Act

investor has the same meaning as in section 6(1) of the FMC Act

relevant accounting period means the accounting period (as defined in section 5(1) of the Financial Reporting Act 2013) that ended most recently before the due date.

Regulation 7A heading: amended, on 15 March 2021, by regulation 6(1) of the Financial Markets Authority (Levies) Amendment Regulations (No 2) 2020 (LI 2020/318).

Regulation 7A: inserted, on 1 July 2017, by regulation 5 of the Financial Markets Authority (Levies) Amendment Regulations 2017 (LI 2017/143).

Regulation 7A(1): replaced, on 15 March 2021, by regulation 6(2) of the Financial Markets Authority (Levies) Amendment Regulations (No 2) 2020 (LI 2020/318).

Regulation 7A(1A): inserted, on 15 March 2021, by regulation 6(2) of the Financial Markets Authority (Levies) Amendment Regulations (No 2) 2020 (LI 2020/318).

Regulation 7A(3): amended, on 15 March 2021, by regulation 6(3) of the Financial Markets Authority (Levies) Amendment Regulations (No 2) 2020 (LI 2020/318).

Regulation 7A(4) investor: replaced, on 15 March 2021, by regulation 6(4) of the Financial Markets Authority (Levies) Amendment Regulations (No 2) 2020 (LI 2020/318).