FSE Listings

The New Zealand Financial Service Provider market is one of the most reputable offshore jurisdictions for forming Financial Service Providers who act like Banks and are often referred to as FSPs. An FSP within the New Zealand jurisdiction that caters to non-New Zealand residents is any person or Company providing Financial Services from or within New Zealand, including Banks, Building Societies, Brokers, Credit Unions, Currency Exchangers, Finance Companies, Financial Advisers, Investment Managers, and Insurers among others. The mechanism of registering an FSP is made possible due to the fact that New Zealand repealed its entire Banking Act in 1995 (Banking Act Repeal Act 1995) and thereby facilitated free entry in to the business of banking. There are several laws regulating a financial business, but New Zealand is unique in the sense that an international banking entity can be established without capital requirements, qualification requirements or excessive supervisory requirements. If banking services are not offered to the public in New Zealand, the requirements of prospectus, supervisory trustee and investment statements as set out in Part II of the Securities Act 1978 do not apply. FSPs offering services to non-residents also operate outside the geographical scope of the Non-Bank Deposit. This structure is therefore ideal for an Asia focused broker dealership which gives the comfort of being within the Asia Pacific region within a common time zone. In addition, the Broker Dealer can take clients from all over the World.

New Zealand is an attractive location for running an electronic money or forex business for several reasons:

1. Stable Economy and Political Environment

• New Zealand boasts a stable and well-regulated economy with a high level of    transparency. The country is known for its political stability, low corruption rates, and strong rule of law, making it a reliable environment for financial services.
• This stability provides a secure foundation for businesses dealing in electronic              money and forex, where trust and predictability are crucial.

 2. Progressive Regulatory Framework

• New Zealand’s financial services industry is well-regulated by the Financial Markets Authority (FMA), ensuring a secure environment for investors and customers.
• The country’s regulatory framework is progressive and accommodating to new financial technologies, including e-money and forex. Regulations are in place to protect consumers without stifling innovation, making it easier for companies to operate legally and responsibly.
• Financial Service Providers in New Zealand are also required to register, which ensures transparency and builds customer trust.

 3. Low Corporate Tax and Business-Friendly Policies

• New Zealand has a relatively low corporate tax rate and efficient tax system, which can benefit companies operating within the electronic money and forex sectors. Additionally, there are no capital gains taxes, which can be advantageous for certain business models.
• The country offers a range of incentives for foreign investments and operates a simplified tax system that reduces the administrative burden on companies.

4. Access to Skilled Workforce and Tech Infrastructure

• New Zealand has a highly skilled and tech-savvy workforce, with strong expertise in finance, IT, and regulatory compliance. This makes it easier for businesses in the electronic money or forex space to recruit knowledgeable staff.
• New Zealand has invested heavily in digital infrastructure, including high-speed internet and secure data centers, which are essential for businesses relying on digital transactions and data integrity.

5. Strategic Location and Global Time Zone Advantage

• Located in the Asia-Pacific region, New Zealand offers strategic proximity to key financial markets, especially in Asia and Australia.
• New Zealand’s time zone allows businesses to cover off-hours for other major markets, giving global coverage options that support 24-hour operations. This time advantage is crucial for forex trading and global electronic money transactions.

6. Reputation as a Trusted Financial Hub

• New Zealand is recognized for its transparency, regulatory rigor, and investor protection measures. This reputation can help businesses based in New Zealand gain international credibility and trust.
• The country is also part of international financial and anti-money laundering agreements, such as the Financial Action Task Force (FATF), ensuring adherence to global standards that enhance customer trust in financial services.

 7. Innovative Financial Ecosystem

• New Zealand fosters an innovative ecosystem with numerous initiatives supporting fintech, digital payments, and other tech-driven financial services. The government and private sector are open to adopting new technologies, which can be advantageous for electronic money and forex companies.

With these combined advantages, New Zealand provides a conducive environment for starting and scaling an electronic money or forex business that operates within a stable, secure, and innovation-friendly framework.

If you are interested in expanding your business to New Zealand or have any questions please contact me,  ryan@businesslistingsgroup.com

Also, if you have any financial services companies for sale, please let us know, we can engage to assist you in the sale of your Bank, Brokerage License, MSB, EMI, etc. We also offer these types of firms for sale through our mergers and acquisitions division.