New Zealanders want their Financial Markets Authority (FMA) to ensure effective enforcement, better communication with market participants and active monitoring of the market.

The FMA started on May 1 and has surveyed stakeholders on their priorities and how it can improve on the performance of its predecessor, the Securities Commission.

The survey respondents, who include market participants and industry associations, say protecting retail investors was a weak point of the Securities Commission and they want to see the FMA actively monitor the market.

Some say the authority should not refrain from taking cases on principle, even where the outcome is not clear, “to send messages to the public and the industry”.

They also want improved communications with the FMA. Self-regulatory organisations say they are willing to work with the regulator in market participant oversight and sanctions, but say they want more structure to the interactions, including referral processes.