The Financial Markets Authority (FMA) has set target dates for FAP full licence applications. These target dates are aimed at helping providers smoothly transition to full licensing before their transitional licence expires.
Financial service providers offering a financial advice service had until 15 March 2021 to apply for a transitional licence as a financial advice provider. After 2 years, all transitional licences will expire, and financial advice providers will be required to hold or operate under a full licence to continue giving regulated financial advice to retail customers.
There are different ways to be licensed as a financial advice provider (FAP), depending on how you want your business to be structured:
- you can be licensed as an individual (holding a licence in your own name)
- you can be licensed as a business (holding a licence in the company’s name)
- a licence may also, if allowed in its conditions, authorise one or more named entities (as ‘authorised bodies’) to provide a financial advice service covered by the licence.
Any of these types of FAP can engage financial advisers.
The Financial Markets Authority (FMA) provides an online tool to help you navigate your options.
Target application dates
The FMA is accepting applications now for full licences.
Target application dates:
- For Class 1 or Class 2 full licences, you should apply before 30 September 2022.
- For Class 3 licence applications, the target date is 30 June 2022.
The FMA website has all the information you’ll need to apply for a full licence, including an application kit and a video tutorial.