Pursuant to section 38 of the Securities Markets Act 1988, the Financial Markets Authority gives the following notice.
N o t i c e
1. Title, commencement and expiry-(1) This notice is the Authorised Futures Dealers (Standard Chartered Bank) Notice 2014.
(2) This notice comes into force on the day after the date of its notification in the New Zealand Gazette.
(3) This notice expires on the close of 30 November 2014.
2. Interpretation-(1) In this notice, unless the context otherwise requires:
Act means the Securities Markets Act 1988
AFS Licence means an Australian Financial Services Licence granted under the Corporations Act
ASIC means the Australian Securities and Investments Commission
Company means Standard Chartered Bank
Corporations Act means the Corporations Act 2001 of the Commonwealth of Australia
FMA means the Financial Markets Authority established by Part 2 of the Financial Markets Authority Act 2011
Recognised Exchange means an authorised futures exchange or any exchange in a country other than
New Zealand that 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 contract; 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 invest money; or
(h) a person who is a related body corporate of any of the persons mentioned in subparagraphs (a) to (g) above.
(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.
3. Authorisation-(1) The Company is authorised to carry on the business of dealing in futures contracts.
(2) The authorisation in clause 3(1) is subject to the conditions that:
(a) in respect of any futures contract to which the authorisation applies that is not a futures contract that is effected on a Recognised Exchange, the Company is a party to that futures contract; and
(b) the Company deals only on behalf of Wholesale Clients; and
(c) before dealing in any futures contract in respect of which the authorisation applies, the Company is satisfied on reasonable grounds that the wholesale 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
(d) in respect of any futures contract that is made on or effected through a Recognised Exchange, that 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
(e) the Company does not hold client money or client property in connection with dealing in futures contracts; and
(f) the Company is licensed as an Australian Financial Services Licensee under the Corporations Act and holds an AFS Licence which authorises the Company to provide futures advisory services to wholesale clients; and
(g) the Company notifies FMA if the Company's AFS Licence is varied or revoked and notifies FMA of any regulatory action taken by ASIC in relation to the Company's AFS Licence; and
(h) the Company sends a copy of its audited financial statements to FMA not more than three months after the end of each financial year; and
(i) the Company notifies FMA of any material matter concerning the Company's authorisation as a futures dealer or its dealing pursuant to that authorisation.
Dated at Wellington this 6th day of May 2014.
ELAINE CAMPBELL, Head of Compliance Monitoring, Financial Markets Authority.