The Financial Markets Authority (FMA), New Zealand’s financial markets regulatory body, today updated its warning list to include Hangsiu Group Ltd, the latest entry to be categorised as “unregulated business”.
The new world of online trading, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.
Hangsiu Group Ltd, which claims to be located in Auckland, New Zealand, offers a range of investment products including forex, commodities, stocks, indices, futures and funds. However, according to the FMA, it does not possess the appropriate licenses to provide trading services in the country.
The Fate of Bank Stocks Amid Quantitative TighteningGo to article >>
This is a further example of guidance published by the New Zealand watchdog in recent months. In March 2016, the FMA warned against the unlicenced activities of DGM Service Markets Ltd for a similar offence.
Businesses or individuals offering financial products or services in New Zealand are registered on the Financial Service Providers Register (FSPR). The FMA’s warning list includes those that are not registered on the FSPR, which means they are not allowed to offer financial services in New Zealand, even if they say they are.
The FMA became concerned about Hangsiu Group Ltd’s website, which claims that “it is authorised and regulated by the FMA and can guarantee security of customers funds”. It further noted that Hangsiu Group Ltd was deregistered from the Financial Service Providers Register on 9 April 2016.
As an agency with a critical role in regulating capital markets and financial services in New Zealand, the FMA has confirmed that Hangsiu Group Ltd is not registered to provide financial services in New Zealand and for this reason it has made it onto its warning list.