5 Apr 2012

FMA draft rules changed

1:18 pm on 5 April 2012

The Financial Markets Authority has made changes to new requirements for companies trying to raise money from the public.

The FMA has been consulting with the industry about how to prepare and present effective prospectuses and investment statements, by avoiding unnecessary jargon and confusing information.

Some raised concerns about the costs and complexities involved.

The FMA says its new revised draft is markedly different to the first.

It says hanges have been made to emphasise that the guidance is not a compliance check list and that not every example given will be relevant to every offer.

The latest round of feedback closes on 10 May, with a final guidance note to be issued before the end of May.