15 JULY
NEW ZEALAND GAZETTE
2025

and with the advice and consent of the Executive Council, hereby approves the following amendments to the New Zealand Futures & Options Exchange Rules 1992.

Rule 15—Exchange for Physical Transactions

Rule 15.1 is omitted and the following rule is substituted:

“15.1 An exchange of a physical transaction for a Contract may be effected where:

(a) a physical transaction in a commodity is completed by actual delivery, or a physical transaction in a commodity is entered into pursuant to which delivery of the commodity is required, or a transaction of a kind approved by the Company is entered into;

(b) at or about the same time a Contract is entered into between the same parties for the same quantity of the same commodity or a substantially similar commodity;

(c) full details of the physical transaction are recorded in such form as may be prescribed by the Company and are available to the Company upon request;

(d) the Contract is lodged with the Company by such time as is prescribed by the Company; and

(e) the Contract is accompanied by a request for registration as a Market Contract and a certificate in the prescribed form by the Trading Permit Holder lodging the Contract that the transaction has been effected in accordance with these Rules.”

Rule 29—Financial Resources Requirement

Rule 29 is amended by omitting rules 29.3 to 29.5 and substituting the following rules:

“29.3 An Exchange Broker’s Investment Position Risk Requirement is the aggregate of the following amounts calculated in respect of all Contracts, contracts for differences, and investments, held by the Exchange Broker for its own account, in respect of which exposure to loss is not limited to the purchase price:

(a) margined transactions:

(i) bought options the amount of the premium less initial margins paid

(ii) all other margined twice the initial margin requirement

(b) non margined transactions an amount calculated on a basis time to time approved by the Business Conduct Committee.

29.4 In calculating the Financial Resources of an Exchange Broker the following Rules shall apply:

(a) Allowable Assets are:

(i) 100% of client money and client property:

(aa) held in Client bank accounts or as specified client investments pursuant to the Regulations;

(bb) held in client funds accounts with any clearing house pursuant to the Regulations;

(cc) held in client funds accounts with any other Dealer pursuant to the Regulations where such amounts are not overdue.

(ii) 100% of the Exchange Broker’s own money and property:

(aa) held with any registered bank or overseas bank or held in any property approved as suitable for specified client investments pursuant to the Regulations;

(bb) held with any exchange clearing house;

(cc) held with any other futures broker where such amounts are not overdue.

(iii) 100% of claims on any instrument designated with a risk weighting of 20% or less under the capital adequacy measurement regime applied by the Reserve Bank of New Zealand.

All other assets shall be excluded except those for which prior written approval to the inclusion has been obtained from the Business Conduct Committee.

(b) Liabilities shall include all liabilities of the Exchange Broker of any nature whatsoever (whether actual or contingent) other than:

(i) in the case of an Exchange Broker which is a corporate body, its paid up share capital and reserves:

(ii) in the case of an Exchange Broker which is a partnership, individual or unincorporated association, the credit balances on partners’ and proprietors’ equity accounts.

(c) The amount to be included in Liabilities in respect of the contingent liabilities and commitments and any other off-balance sheet exposures of the Exchange Broker (including for the avoidance of doubt, contingent liabilities, commitments and exposures in respect of the obligations of any other person) shall be calculated in accordance with the principles from time to time prescribed by the Business Conduct Committee for the purposes of this Rule 29.

29.5 The Business Conduct Committee may from time to time:

(a) exempt any Exchange Broker or class of Exchange Broker from compliance with all or any of the provisions of this Rule 29; or

(b) vary any of the provisions of this Rule 29 insofar as they relate to any Exchange Broker or class of Exchange Broker; or

(c) vary any of the provisions of Rule 29.2 (b) insofar as they relate to the initial margin requirements of any client, or group or category of clients, of any Exchange Broker or class of Exchange Broker.”

Rule 30—Accounting Records and Financial Reporting

Rule 30.1 is omitted and the following rule is substituted:

“30.1 An Exchange Broker, unless it is a registered bank or an Australian Bank (in which case it shall be exempt from this Rule), shall provide the Business Conduct Committee with a copy of the Exchange Broker’s balance sheet and a statement of the Exchange Broker’s Financial Resources calculated in accordance with Rule 29, in the prescribed form, such reports to be provided no less frequently than monthly and within such time as the Business Conduct Committee may from time to time specify either generally or in respect of any Exchange Broker.”

MARIE SHROFF, Clerk of the Executive Council.

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Transport

Water Recreation Regulations 1979
State Sector Act 1988

The Water Recreation (Lake Benmore) Notice 1993

I, Thomas Edwin Law, Senior Advisory Officer (Harbours Management), pursuant to the Water Recreation Regulations 1979* and in exercise of powers delegated to me pursuant to section 28 of the State Sector Act 1988, hereby give the following notice.