EXNESS establishes new corporate base in St. Vincent and the Grenadines, citing evolving regulatory amendments in New Zealand as major factor
Until recently, New Zealand was regarded by retail FX companies as a very easy jurisdiction in which to establish a virtual office with which to attract a client base from the Asia Pacific region.
Recently, however, the New Zealand Financial Markets Authority (FMA) has stepped up its regulatory prowess and in following the stringent path set out by fellow Antipodean regulatory authority in Australia, leading to the exodus of many firms from the region.
The latest to eschew its New Zealand FMA regulatory auspices is EXNESS, a broker which has made a successful inroad into the Asia Pacific market.
EXNESS has announced that it is establishing both its corporate base and its commercial registration in the island of St. Vincent and the Grenadines, with the firm’s Executive Director Victor Masalov explaining today to LeapRate that the decision was taken in order to “preserve the best terms for clients.”
Last year, the New Zealand FMA terminated several hundred registrants from the New Zealand Financial Services Provider register, as a result of the requirement to have physical premises in New Zealand with an on-site compliance department which houses record-keeping in order to facilitate compliance inspections.
This resulted in an exodus of registered entities, as FX firms wishing to establish in the region demonstrated a preference for Australia’s ASIC license if the requirements of New Zealand and Australia’s regulatory authorities are now similar.
EXNESS has confirmed in its terms and conditions that it is committed to maintaining the exact same trading environment that it currently offers, and that the switch of jurisdictions will have no impact on its client base.