1. Compliance
  2. Licensing and registration
  3. Licensing forms and resources
  4. Supervisors
  5. Varying an existing licence

Varying an existing licence

 

Licensed supervisors can apply to vary an existing licence, for example to add or remove a licence class.

How to apply

The process to vary a licence is similar to the process you used when you applied for your initial licence.

Supervisor licence holders applying to vary an existing licence must complete 3 forms:

1. Form TRU1.1 Var is the application form. It has the detail to help you start your application. The form contains:

  • information about how to submit your application 
  • the application fee and how to pay it.

2. Form TRU2.1 Var has a checklist of the supporting information and the statutory declaration form that you must submit with your application.

It contains an appendix of cover sheets to help us track the information you provide. It also requires you to list all directors and senior managers who will be submitting DIR1.1 Var forms.

3. Form DIR1.1 Var collects the information and statutory declarations by directors and senior managers. A separate DIR1.1 Var form must be completed for every director and senior manager named in form TRU2.1 Var.

Refer to our Guidance Note: Supervisor Licensing for details of the information you must submit.

Application detail

You should review your original licensing application and any supplementary material provided, or disclosures made to us when the original licensing application was made.

Where there are changes, please submit amended or updated material for those sections. To help you with this, refer to the licensing Guidance Note: Supervisor licensing, Part C. Where there has been no change to the information already submitted as part of the initial licensing application, please note the relevant sections on the application form.

Assessment of the application

To vary a licence, we must be satisfied that the applicant is, or will be, capable of effectively performing the functions of a supervisor, including any imposed conditions, after the licence variation. We assess the variation application on the same basis as the initial licence application. What we will assess is set out in section 16 of the Financial Markets Supervisors Act 2011 and in the Financial Markets Supervisors Regulations 2014.

We will review all material received and will also take into account information we gather from our monitoring of the licensee’s operations. We might ask you to provide more information, update previously submitted material or verify the information you provided.

We will assess whether the licence duration and the current conditions are still appropriate. As a result, we may reduce the duration, vary current conditions or add new conditions.

Variations to include a new class of licence

A licensed supervisor should not assume they will be granted an extension for a class licence simply because they hold a licence in one or more than one class of licence. Any request for an extension into a new licence class must be fully assessed against the statutory tests (under section 16).

In practice, we must be satisfied that the applicant can effectively perform the role of supervisor (for the new class), and that adding the new class will not adversely impact their existing activities. The request to vary an existing class licence should therefore include:

  • written operational procedures tailored to the new class
  • proof to show the applicant understands the different reporting requirements of the new class, and how the applicant will adapt its existing monitoring procedures to encompass these
  • details of how staff and management have updated skills to make sure they have the right skills to effectively carry out supervisory functions for the new class
  • details of the peer review and supervisory processes for any new class
  • levels of staffing resources 
  • confirmation that work on existing supervised entities will not be adversely affected.

We expect the licensee to have clearly identified the risks associated with any new class of licence and how they will adapt their existing monitoring processes to address these risks.

We expect this exercise to be more than a simple transfer of existing processes to another class.

Need help?

Before making an application to vary an existing licence, speak to your usual FMA contact to discuss your specific circumstances.