On 18 November 2020, the Financial Markets Authority (FMA) opened consultation on proposed guidance on advertising offers of financial products under the Financial Markets Conduct Act 2013.
The proposed guidance will be of interest to market participants making advertisements for financial products and services as well as consumer advocacy groups.
Current Status
The FMA have released a draft copy of the proposed guidance and an accompanying consultation paper which sets out specific questions to guide submissions and includes a feedback form.
Submissions close on 16 February 2021. Final guidance will be issued afterwards.
If you would like assistance with making a submission or advice on the proposed guidance, please contact a member of our financial services regulation team.
Scope of the Guidance
The proposed guidance sets out the FMA's expectations of what good conduct in the advertising of financial products looks like. The guidance addresses three key sections:
- Fair dealing and disclosure provisions
- Advertising standards and guidelines
- Enforcement.
The guidance applies to advertising across any medium including traditional advertising mediums such as print, broadcast and outdoor formats as well as social media, mobile messages and seminars.
The proposed guidance complements and is intended to be read in conjunction with existing information and guidance published by the FMA, including the FMA’s guide to good conduct, the crowdfunding and peer-to-peer lending guidance, regulatory response guidelines and the FMA's website content on its approach to the fair dealing and stop order provisions.
For further information on the proposed guidance, please see FMA's consultation page.
