Risk Management Limited) Notice 2010
Pursuant to section 38 of the Securities Markets Act 1988, the Securities Commission gives the following notice.
N o t i c e
Clause 1: Title, commencement and expiry
1(1) This notice is the Authorised Futures Dealers
(Asia-Pacific Risk Management Limited) Notice 2010.
1(2) This notice comes into force on the day after the date of its publication in the New Zealand Gazette.
1(3) This notice expires on the close of 31 May 2015.
Clause 2: Interpretation
2(1) In this notice, unless the context otherwise requires:
"Act" means the Securities Markets Act 1988.
"Company" means Asia-Pacific Risk Management Limited.
"recognised exchange" means an authorised futures exchange or any exchange in a country other than New Zealand which is authorised by the laws of that country to operate as a futures exchange.
"wholesale client" means any client that is:
(a) a person who controls at least $10 million; or
(b) a trustee of a trust or a funds manager, acting
in that capacity, who has under that person’s control, as trustee or funds manager, net assets of at least $10 million; or
(c) a person who is authorised to carry on the business of dealing in futures contracts under
the Act; or
(d) a person authorised in another jurisdiction by the competent authority of that jurisdiction to deal in futures contracts; or
(e) Her Majesty The Queen in right of New Zealand, a Crown entity named in the Crown Entities Act 2004, or a State enterprise named in the First or Second Schedule to the State-Owned Enterprises Act 1986 (each as amended from time to time); or
(f) a person who is a statutory corporation or a registered bank; or
(g) a person whose principal business is the investment of money or who, in the course of
and for the purposes of their business, habitually invests money; or
(h) a person who is a related body corporate of any of the persons mentioned in subparagraphs (a) to (g) above.
2(2) Any term or expression that is defined in the Act and used, but not defined, in this notice has the same meaning as in the Act.
Clause 3: Authorisation
3(1) The Company is authorised to carry on the business of dealing in futures contracts generally.
3(2) The authorisation in clause 3(1) is subject to the conditions that:
(a) the Company deals only on behalf of its wholesale clients;
(b) before dealing in any futures contract in respect
of which the authorisation applies, the Company is satisfied on reasonable grounds that the approved client is contracting:
(i) as principal on its own account; or
(ii) on behalf of a related body corporate; or
(iii) as trustee of a trust or manager of a managed fund; and
(c) the Company does not carry on the business of dealing in futures contracts on behalf of any client other than one who has entered into a written contract for services with the Company, and then only in accordance with the terms of that contract;
(d) the Company does not hold client money or client property in connection with dealing in futures contracts;
(e) in respect of any futures contract that is made on
or effected through a recognised exchange, any acquisition or disposal of the contract is effected through a person who is an authorised participant or member of the recognised exchange and who is authorised or licensed by the laws of the country in which it operates to deal in futures contracts on behalf of that person and to hold client money for that purpose; and
(f) the Company provides the Commission with a copy of its audited annual financial statements
no later than three months after the end of each financial year for the Company; and
(g) the Company notifies the Commission of any material matter concerning its authorisation as a futures dealer, including the following events:
(i) the insolvency of the Company or the bankruptcy of any of its directors;
(ii) where a receiver, provisional liquidator, liquidator or a similar officer is appointed, or any resolution is passed or order made for the liquidation or dissolution of the Company;
(iii) if the Company, or any of its directors or member of the senior management, is convicted of an indictable offence;
(iv) any regulatory action taken against the Company, or any of its directors or senior management, whether in New Zealand or elsewhere; and
(v) if any director or member of the senior management leaves the Company or if any new director or member of the senior management is appointed to the Company.
Dated at Wellington this 11th day of May 2010.
The Common Seal of the Securities Commission was affixed in the presence of:
[L.S.]
JANE DIPLOCK, Chairperson.