The new platform allows New Zealanders to invest in various commodities, including precious metals such as gold, silver, and platinum. This feature provides an additional investment option for users looking to diversify their portfolios by adding an alternative asset class. It follows the earlier introduction of cryptocurrency trading in the country.
Through the Revolut platform, customers can purchase and trade precious metals based on real-time market data. Gold holdings are securely stored with a third-party financial institution. Additionally, users of Revolut's Metal plan can receive cashback credited in gold, silver, or platinum directly to their commodities account.
The platform offers an intuitive interface, enabling users to monitor market prices, set target price alerts, and execute trades automatically when prices reach desired levels. Revolut's service is designed to provide low transaction costs, making commodities trading more accessible to everyday investors in New Zealand.
This development is part of Revolut’s broader strategy to deliver diverse financial products, including currency exchange and cryptocurrency trading, to meet the growing demands of its global user base.
In New Zealand, commodities trading is subject to oversight by several regulatory bodies to ensure market integrity and investor protection. The Financial Markets Authority (FMA) is the primary regulator responsible for enforcing rules and standards in financial markets, including trading in commodities. The FMA requires trading platforms to adhere to strict compliance measures, such as providing transparent information about fees, maintaining fair trading practices, and ensuring that investor interests are safeguarded. Additionally, platforms offering commodities trading must comply with AML and countering the financing of terrorism (CFT) regulations, which involve rigorous customer verification and monitoring procedures.
Revolut’s introduction of commodities trading in New Zealand aligns with these regulatory requirements by implementing robust compliance and security measures. The platform ensures transparency in its trading operations and maintains adherence to local financial regulations to protect users. Revolut’s commitment to regulatory compliance includes stringent AML and CFT protocols, which help prevent illicit activities and secure user transactions.
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