508N Securities Law and Market Regulation in New Zealand

This subject focuses on the legal system in New Zealand as it relates to the market. It provides an overview of the functions of key regulatory bodies, including the New Zealand Exchange Limited (NZX). The subject also discusses how companies raise capital, then establish and run a business. It also outlines the protection available to investors in the NZX. Individuals apply their knowledge via case studies and realistic scenarios.

For more information, please refer to the subject outline.

For Study Period SP1 2023 onwards, please refer to the subject outline here.

  • Learning outcomes
    • On successful completion of this subject, individuals should be able to:

      1. Explain the regulatory framework of the securities industry in New Zealand.
      2. Describe the listing and quotation of issuers’ securities on the NZX.
      3. Discuss the continuing obligations of listed issuers.
      4. Outline the takeover provisions that apply to listed issuers.
      5. Explain how companies differ from other business structures and identify the duties/rights of directors and shareholders.
      6. Discuss the regulation of trading conduct in relation to workplace activities and provisions designed to prevent market misconduct and to protect investors.
      7. Discuss the rights and obligations of the NZX firm/client relationship.
      8. Outline the requirements for Market Participants and NZX Advisers.
      9. Discuss the regulation of derivatives.
  • Subject content
    • Topic Title
      Topic 1 Fundamental objectives of NZX and stockmarket regulation
      Topic 2 Bodies which regulate the stockmarket
      Topic 3 Listing and quotation of securities on NZX
      Topic 4 Continuing obligations of listed issuers under the Listing Rules
      Topic 5 Takeovers
      Topic 6 Business structures
      Topic 7 Effect of common law on Market Participants
      Topic 8 Relationship between Client Advising Participants and clients
      Topic 9 Statutory law protection of investors
      Topic 10 Market Participants and Advisers
      Topic 11 Trading conduct
      Topic 12 Futures and options regulation

  • Duration
    • The duration of this subject is one study period (12 weeks).

  • Assessment
  • Prerequisites
    • There are no prerequisites for this subject. However, individuals should review the ‘Assumed Knowledge’ tab to understand the prior knowledge Kaplan Professional advises they should hold before enrolling in this subject.

  • Assumed Knowledge
    • Not applicable.

  • Course transition subject equivalence
    • Individuals may not be required to complete this subject if they have transitioned from a SIA/Finsia/Kaplan Professional course and have completed the following subjects:

      • there are no equivalences for this subject.

  • Reading list
    • There is no prescribed text for this subject. Individuals are provided with key readings and access to Kaplan Professional’s online databases. Individuals are encouraged to research and read widely on the topic.