1. Compliance
  2. QFEs & QFE advisers
  3. Your obligations
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QFEs & QFE advisers

Your obligations

Qualifying financial entities (QFEs) during the period of their QFE status must:

A QFE also has responsibility to ensure that members of its QFE group and employees and nominated representatives of the QFE group comply with the terms and conditions of grant of QFE status and that employees and nominated representatives comply with their financial adviser obligations.

The FMA grants QFE status subject to terms and conditions. The terms and conditions include standard conditions subject to any modifications we consider appropriate and terms and conditions specific to the QFE (if any).

View standard conditions and explanatory notes:

Variation of terms and conditions

Most terms and conditions will remain in place for the period of QFE status. The conditions may be varied during the period of grant of status in the circumstances outlined below.

 

Situation Section of the Financial Advisers Act
on application by a QFE (if approved by FMA) s75(1) and (2)
if they are reporting or accounting standard conditions. Changes are subject to consultation s147A(3) and 147E
for other standard conditions, in limited circumstances, such as in response to an emergency. Changes are subject to consultation s147A(3)(a) to (e) and 147E
if the business of the QFE has changed in such a way that there is a material risk to consumers; and/or the QFE or a member of the QFE group has been or is involved in market practices that are in material respects inconsistent with the purpose of the Act s75(3)
on a QFE's default s75D(2)(d)

If an entity applies to renew its QFE status, new terms and conditions may apply.


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