On Apr. 28, 2025, NZ GVT gazetted Financial markets conduct (financial reporting-DIMS licensees) exemption notice 2025, renewing the exemptions from 2020 notice.
Exemption levels are based on the amount of retail funds under management, with updated monetary thresholds; level 1 licensee defined as having <NZD 130mn FUM, level 2 licensee is defined as having between NZD 130mn and NZD 327mn FUM.
These amounts represent increases from the monetary thresholds in the 2020 notice.
Exemptions do not apply if a DIMS licensee is an FMC reporting entity for any reason other than holding a DIMS license, if no independent custodian; that a DIMS licensee may also be licensed to act as financial advice service provider must be disregarded.
Notice covers exemptions applicable for level 1 and 2 licensees, calculation of FUM.
New exemption comes into force on Jun. 5, 2025, and will be revoked on Jun. 4, 2030.
On Oct. 30, NZFiMA proposed renewing DIMS licensees exemption.
NZFiMA issued consult paper that proposes renewing class exemption for discretionary investment management service (DIMS) licensees from certain financial reporting.
Consultation paper outlines proposal regarding whether to renew, for a further five years, an existing class exemption that relieves small and medium DIMS licensees from certain reporting and audit requirements under Financial markets conduct act.
Exemption applies to two categories based on retail funds under management (FUM) i.e. level 1, <NZD 100mn retail FUM, and level 2, NZD 100mn-250mn retail FUM.
Level 1 will be exempted from most financial reporting and audit requirements, while level 2 must prepare GAAP statements but exempt from licensed auditor requirements.
Consultation End
The consultation period closes on Nov. 29, 2024, decision to be made by early 2025.
Indicated that replacement notice, if granted, would come into effect on Jun. 5, 2025.
Apr. 2025 NZ GVT Gazetted Exemption Notice
On Apr. 28, 2025, NZ GVT gazetted Financial markets conduct (financial reporting-DIMS licensees) exemption notice 2025, renewing the exemptions from 2020 notice.
Exemption levels are based on the amount of retail funds under management, with updated monetary thresholds; level 1 licensee defined as having <NZD 130mn FUM, level 2 licensee is defined as having between NZD 130mn and NZD 327mn FUM.
These amounts represent increases from the monetary thresholds in the 2020 notice.
Exemptions do not apply if a DIMS licensee is an FMC reporting entity for any reason other than holding a DIMS license, if no independent custodian; that a DIMS licensee may also be licensed to act as financial advice service provider must be disregarded.
Notice covers exemptions applicable for level 1 and 2 licensees, calculation of FUM.
New exemption comes into force on Jun. 5, 2025, and will be revoked on Jun. 4, 2030.
