FMA has published its annual General Obligations Review of NZX. A copy of the report is available here.
The report lists 11 actions that NZX will take, in order to achieve further improvements in its arrangements for operating the markets. These include:
Arrangements for handling conflicts: by, among other actions, revising the process for decision-making in circumstances where particular conflicts may arise and establishing a Conflicts Committee of the Board to oversee NZX’s arrangements for managing conflicts;
Arrangements for monitoring conduct: by amending the guidance note on amendments to NZX’s rules; and
Arrangements for enforcing compliance: by, among other actions, enhancing the visibility of regulatory matters and enforcement activities.
The Chief Executive of the FMA, Rob Everett, says “[along] with the improvements that NZX has already implemented, I believe we have the appropriate degree of reassurance – on regulatory compliance – that investors, firms, and the Government expect of New Zealand’s only registered exchange.”