Licensing fees

In October 2019 regulations were made that set the licensing fees that will apply in the new financial advice regime.

The Financial Markets Conduct (Fees) Amendment Regulations (No 2) 2019 give effect to Cabinet’s decisions on 17 June 2019.

You can view the fees in the below tables.

Transitional licensing fees

Application fees Fee (ex GST) Fee (incl GST)
Financial advice provider application fee $405.00 $465.75
Additional fee for any authorised body named in an application $38.75 $44.56

Full licensing fees

Application fees Fee (ex GST) Fee (incl GST) Threshold for charging the hourly rate
Tier 1 – sole adviser businesses or financial advice providers that only give advice on their own account $612.00 $703.80 2 hours
Tier 2 – financial advice providers that engage multiple financial advisers but no nominated representatives $767.00 $882.05 3 hours
Tier 3 – financial advice providers that engage one or more nominated representatives $922.00 $1,060.30 4 hours
Additional fee for any authorised body named in an application $155.00 $178.25 N/A

FMA levy

Note FMA levies for the new financial advice regime are being developed and will be announced later in 2020 given the delay to the commencement of the new regime due to COVID-19 impacts and in light of Cabinet’s decision to increase the FMA’s funding.

Read more about the funding of the FMA here

Relief for sole-adviser firms

Financial service providers will generally be required to pay a levy of $480 (excluding GST) when initially registering on the Financial Service Providers Register (FSPR). The Financial Markets Authority (Levies) Amendment Regulations include relief from this levy for businesses that have been relying on the sole-adviser exemption but are now required to register in the new regime.

This relief will apply for those registering their business from 25 November 2019 to 14 June 2021.

Last updated: 25 June 2020