The Financial Markets Authority (FMA) released its corporate work plan for the next 12 months on THursday, detailing key regulatory priorities across multiple financial sectors.
The Annual Corporate Plan (ACP) for 2022/23 builds on FMA’s previous implementation of legislative requirements for the financial services sector, focusing on the expansion of its function as a conduct regulator through three key areas:
The ACP also detailed plans to introduce three new legislative regimes between 2023 and 2025. Financial advice regime (FSLAA) will bring full licensing into effect starting March 2023. Climate-related Disclosures (CRD), meanwhile, will develop standards and consultation through 2023, with the first climate-related statements due in 2024. Finally, the Conduct of Financial Institutions (CoFI) will open conduct licensing in 2023, with fair conduct programmes and obligations taking effect starting 2025.
With the introduction of FMA licensing for banks, insurers, and non-bank deposit takers, chief executive Samantha Barrass (pictured above) said the regulator will place conduct obligations “at the heart of a fair financial system.”
“As our remit grows, the FMA will have a greater focus on fair outcomes for consumers and investors,” Barrass said. “The financial sector is an enabler in people’s lives and it’s important it works well for all. In turn, this will shape how the FMA operates and organises itself as we step up and deepen our understanding of consumers and how they interact with financial markets and services.
“I’m looking forward to bringing our priorities to life over the next year, in particular providing support and guidance on the fair conduct programmes for CoFI, introducing a new conduct framework, and throughout all of this remaining an open, accessible and engaged regulator working with industry to implement these changes,” she said.
