27 JUNE 2013 NEW ZEALAND GAZETTE, No. 83 2239

3. Authorisation—(1) The Company is authorised to carry on the business of dealing in specified futures contracts.

(2) The authorisation is subject to the conditions that:

Condition relating to client agreements

(a) the Company does not enter into specified futures contracts with any person other than a person who has entered into a written agreement with the Company, and then only in accordance with the terms of that agreement;

Conditions relating to disclosure and advertising

(b) before the Company enters into a specified futures contract with any person, that person has received a disclosure document that complies with the requirements of clause 4 of this notice;

(c) every advertisement for a specified futures contract must refer to a disclosure document that relates to the specified futures contracts referred to in the advertisement;

(d) no advertisement shall contain any information, sound, image or other matter that is inconsistent with any disclosure document referred to in the advertisement;

(e) before the Company provides any personalised futures adviser service to any retail client in relation to a specified futures contract, the Company has provided that person with an adviser disclosure statement which clearly sets out the following information:

(i) The name and contact details of the Company;

(ii) a statement to the effect that any advice on futures contracts is regulated under the Company’s authorisation as a futures dealer and is not regulated under the Financial Advisers Act 2008;

(iii) a description of how the Company and its advisers are remunerated for futures dealing services;

(iv) a description of any other factors which may materially influence the advice given by the Company or its advisers;

(v) the types of products the Company deals in and, if advice on any product is only provided by some advisers, which advisers can provide advice on each product;

(vi) details of any bankruptcy or insolvency event occurring in the past five years in respect of the Company or one of its advisers;

(vii) details of any disciplinary or criminal proceedings resulting in an adverse finding in the past five years in respect of the Company or one of its advisers;

(viii) details of any conviction for an offence of dishonesty against any of the Company’s advisers;

(ix) a description of the internal and external dispute resolution schemes available to the client, and an explanation of how to make a complaint; and

(x) a description of the Financial Markets Authority’s role in authorising futures dealers, and details of how to contact the Financial Markets Authority;

(f) any Company document that states the Company has been authorised by the Financial Markets Authority to carry on the business of dealing in futures contracts includes a statement to the effect that:

(i) the Financial Markets Authority’s role in authorising futures dealers is limited and does not imply approval or endorsement of the business, trading or solvency of the Company; and

(ii) the Financial Markets Authority has not approved any agreements or any disclosure documents of the Company;

Conditions relating to conduct obligations

(g) the Company, its owners, directors, officers and other relevant persons must remain fit and proper persons to perform the futures dealers activities;

(h) the Company must remain registered on the Financial Service Providers Register, for its futures dealing and related activities;

(i) the Company does not provide financial services, whether in New Zealand or overseas, unless at all relevant times it holds any licences, authorisations and registrations it is required have in order to provide those financial services;

(j) the Company does not accept any business through a broker or introducing broker, or permit any other entity to white-label its products, unless it has confirmed that the broker, introducing broker or other entity is authorised or licensed by the laws of each country in which it operates to deal in futures contracts on behalf of clients;

(k) the Company, and its directors, employees and agents do not offer to a client (either as principal or as an intermediary), or advise a client to enter into, any futures contract which the Company, or that director, employee or agent, knows, or ought to know, is offered in breach of New Zealand law or the laws of the any overseas jurisdiction, or which is offered to a limited class of persons for which the client does not qualify;

(l) the Company takes reasonable steps to ensure at all times that each director, employee or agent of the Company understands, and may reasonably be expected to comply with, all laws and regulations which are applicable to the Company, including all requirements of this authorisation;

(m) the Company takes reasonable steps to ensure at all times that each adviser who provides futures adviser services to a client:

(i) exercises the care, diligence and skill that a reasonable adviser would exercise in the same circumstances;

(ii) has the competence, knowledge and skills to provide futures adviser services to that client, and in respect of the specified futures contract;

(iii) places the interests of the client first, and acts with integrity, in providing the futures adviser services;

(iv) ensures that the client has sufficient information, in a form which enables the client to understand that information, to make an informed decision about the futures adviser service and the specified futures contracts to which that futures adviser service relates;