Regulatory Alerts2023-07-31
FMI Standard 2: Governance
Issued jointly by the Reserve Bank of New Zealand and the Financial Markets Authority under the Financial Markets Infrastructure Act, this standard mandates comprehensive governance frameworks for all designated financial market infrastructure operators. Operators must establish clear, documented objectives and governance arrangements that prioritize safety, efficiency, and financial stability while ensuring transparent accountability, robust risk management, and independent oversight functions. The standard further requires boards to maintain appropriate expertise, actively manage conflicts of interest, align strategic decisions with participant interests, and promptly disclose major decisions to stakeholders and the public.
Share