These regulations, which come into force on 14 June 2019, amend the Financial Markets Conduct (Fees) Regulations 2014.

These regulations prescribe a fee relating to the recognition regime implemented by the Financial Markets Conduct (Asia Region Funds Passport) Regulations 2019 and the Financial Markets Conduct (Asia Region Funds Passport) Amendment Regulations 2019. The regime gives effect to the Memorandum of Cooperation on the Establishment and Implementation of the Asia Region Funds Passport (the memorandum) entered into between New Zealand and Australia, Japan, the Republic of Korea, and Thailand. Under these arrangements,—

• investments in certain managed investment schemes from those overseas countries (foreign passport funds) are able to be offered in New Zealand; and

• investments in certain New Zealand managed investment schemes are able to be offered in those overseas countries.

Certain preconditions must be satisfied before investments in foreign passport funds are offered in New Zealand. The fee prescribed by these regulations relates to the precondition that requires an operator of a foreign passport fund to apply to the Financial Markets Authority for entry of the fund in accordance with the memorandum.

The application fee for entry of a foreign passport fund is a fee charged on the hourly basis specified in Part 2 of Schedule 1 of the Financial Markets Conduct (Fees) Regulations 2014.