Forex Brokers in New Zealand
Richard Montana | November 23, 2022
Trading forex is popular amongst residents of New Zealand. It allows them to buy and sell currency pairs and speculate on forex market prices. Forex traders in New Zealand can choose to use any regulated forex broker, but it can be advantages to look for brokers that are regulated by the Financial Markets Authority (FMA), which is the financial regulatory body in New Zealand. The FMA is the New Zealand government agency responsible for financial regulation. It is responsible for regulating all financial market participants, exchanges, and setting and enforcing financial regulations.
Best forex brokers New Zealand
To find the best forex brokers in New Zealand, we created a list of all the regulated forex brokers that accept traders who are based in New Zealand, then ranked them depending on our overall rating. Below you can see the list of our top forex brokers for New Zealand.
ASIC, BaFin, CFTC, DFSA, FCA, FINMA, FMA, FSA, FSCA, JFSA, MAFF, MAS, METI, NFA
FMA forex brokers in New Zealand
FMA stands for the Financial Market Authority, and in New Zealand it is the organisation in charge of regulating the country’s financial markets. The role originally fell on the shoulders of the Securities Commission of New Zealand.
The Securities Commission was an independent Crown entity of the government of New Zealand and the main regulator of investments. It was replaced on 1 May 2011 by the Financial Markets Authority in a wake of criticism over the failure of the previous regulatory regime to halt the failure of many finance companies and to stem investor losses in the period between 2006 and 2010.
The FMA is now the primary regulatory authority of NZ that has clear-cut responsibilities to regulate and supervise all types of financial firms including forex brokers.
The FMA has minimum capital requirements that are in line with the capital requirements of regulated brokers in the European Union. However, there are many brokers that choose to register with the FMA due to the location, the strong local economy and the available work force that is considered highly educated in the financial sector.
Forex brokers under the FMA regulation have to follow certain rules and be responsible for their conduct. When brokers do not follow the set rules and regulations, the FMA can impose strict punishments and fines, and in some cases, even ban the broker.
- Hold at least $1,000,000 to cover the indemnity and operational responsibilities
- Provide transparent data and an advanced level of customer protection
New Zealand is a politically stable country with a strong legal framework based on English common law. It is therefore often considered safe for traders to trade with New Zealand forex brokers, and most brokers operating there are well-capitalized companies.
In the unlikely event that any kind of dispute occurs between a forex broker in New Zealand and a trader, the trader is free to file a complaint with the FMA or FSPR. The Financial Service Providers Register (FSPR) is the financial regulatory body in New Zealand. The FSPR oversees and ensures that all FSPs are registered with them before they can legally provide financial services. The FSPR aims to achieve greater accountability and transparency in the financial sector.
How to verify FMA regulated brokers in New Zealand
For forex traders who are looking for a regulated broker in New Zealand, the authority to look for is the FMA (Financial Markets Authority) New Zealand. It might prove to be a challenge, as New Zealand’s market regulation has some limitations compared to other top tier regulators such as the ASIC and FCA. However, finding FMA regulated brokers is a step in the right direction.
To identify if a forex broker is authorised and regulated as Financial Services Provider (FSP) by the FMA, you can get the brokers regulation number from the disclosure text which you can usually find at the bottom of the brokers homepage. Once you have that, you can look up the FSP number on the FMA website to confirm if the broker is licensed in New Zealand. The FMA register has the full list of registered brokers in NZ with a valid licence.
Forex Brokers with Neteller
Forex brokers offer a wide variety of account funding options to make their services more…
Forex Brokers with Skrill
Skrill is popular with forex traders around the world, as you can quickly move money…
Forex Brokers with PayPal
If you are looking for a PayPal forex broker it is probably because of the…
Brokers for News Trading
Trading on news releases can vastly improve trading strategies. News trading is beneficial to traders…
Forex Brokers in Europe
Trading forex is popular among traders in Europe, which is one of the most active…
Brokers for Trading the Dow Jones
The Dow Jones Industrial Average (DIJA) represents the companies that are based only in the…