Fund passport coming

Kiwi investors and managed funds will now be able to do business more easily with Australia, Japan and Thailand, after New Zealand’s implementation of the Asia Region Funds Passport (ARFP).

The ARFP, signed by New Zealand, Australia, Japan, Thailand and Korea in 2016, facilitates the offering of liquid and well diversified managed funds among the signatory economies.

The Financial Markets Authority says that New Zealand had completed preparations for the agreement.

Local schemes can now apply to be registered as a passport fund and foreign passport funds can apply for permission to offer their funds in New Zealand. This means that fund managers from New Zealand, Australia, Japan, Thailand can offer eligible products to investors in each other’s economies, bringing more choice and competition to managed fund markets in the Asia/Pacific region.