FMA · New Zealand
Financial Markets Authority
New Zealand's conduct regulator. Under the Financial Markets Conduct Act 2013, firms offering derivatives to retail clients need a derivatives issuer licence, with real capital and reporting requirements.
- Retail leverage
- No formal retail leverage cap as of late 2025. The FMA has proposed caps of around 30:1 on major FX down to 2:1 on crypto, so check the current position.
- Compensation
- No investor compensation scheme. Client money must be held on trust.
- Capital
- Net tangible assets of at least NZ$1 million or 10% of average revenue, whichever is greater, with at least half held in cash. Falling short triggers early-warning reporting and limits on new client positions.
- Supervision & substance
- A derivatives issuer licence from the FMA, with standard licence conditions, financial reporting, and ongoing monitoring.
- Stocks, futures & crypto
- Share brokers, trading platforms, and custodians are also supervised by the FMA. Crypto exchanges register as financial service providers and must follow anti-money-laundering rules, but there is no dedicated crypto licence yet.
- Trade-off
- Higher leverage than most Tier 1 regimes for now, but that may change once the FMA's leverage proposal is decided. Do not confuse an FMA licence with a listing on the Financial Service Providers Register, which is a registration, not a licence.
What it means for you: A credible onshore regulator with more flexibility than its peers today. Check the firm's name on the FMA's licensed derivatives issuer list, not just the FSP register.
Common questions about FMA
Is FMA a good regulator for forex brokers?
In our view, FMA is a top-tier regulator (Tier 1 · Top-tier onshore). New Zealand's conduct regulator. Under the Financial Markets Conduct Act 2013, firms offering derivatives to retail clients need a derivatives issuer licence, with real capital and reporting requirements. A credible onshore regulator with more flexibility than its peers today. Check the firm's name on the FMA's licensed derivatives issuer list, not just the FSP register.
What leverage can brokers regulated by FMA offer retail clients?
No formal retail leverage cap as of late 2025. The FMA has proposed caps of around 30:1 on major FX down to 2:1 on crypto, so check the current position.
Is there a compensation scheme if a broker regulated by FMA fails?
No investor compensation scheme. Client money must be held on trust.
Does FMA regulate stocks, futures, or crypto?
Share brokers, trading platforms, and custodians are also supervised by the FMA. Crypto exchanges register as financial service providers and must follow anti-money-laundering rules, but there is no dedicated crypto licence yet.
A licence only protects you if your account is with the entity that holds it. Many broker groups hold several licences and onboard clients through an offshore entity. Check your client agreement, and verify the licence on the regulator's own register.
See how all 31 regulators compareSimilar regulators
FCA
United Kingdom
Tier 1 · Top-tier onshoreCFTC / NFA
United States
Tier 1 · Top-tier onshoreASIC
Australia
Tier 1 · Top-tier onshoreWe have done the broker homework.
See which brokers made our shortlist, the entities and licences behind each one, and member pricing.
Tiers and ratings are M1 Strategic's own assessment, based on public sources listed in our regulator guide. Rules change: always verify with the regulator directly. Not financial advice.