Quick Quote

OMCA Frequently Asked Questions

   
28/02/2017 4:52 a.m.
Trading
NZ/AU Markets   
International Markets   
Exchange Traded Funds   
NZ Fixed interest   
Investing
New Issues
Government Kiwi Bonds
UDC Term Investments
ANZ Investment Funds
ANZ KiwiSaver Scheme
ANZ Insurance
Currencies & Cash
Online Multi-Currency Account   

What are the bank account details for the Online Multi-Currency Account?
Who provides the Online Multi-Currency Account?
Who can open an Online Multi-Currency Account?
Which currencies do I have access to?
It says online; what does this mean?
Do I get a discounted brokerage rate?
Which currencies can I settle my share or bond trades in?
Can I pay my AU, US or UK dividends to the OMCA?
Is there a minimum deposit or minimum balance needed to operate the account?
Do I have to hold a balance in all of the 10 currencies?
Are there any transaction charges or service fees?
How can I deposit funds?
When can I withdraw funds?
When can I transfer money between currencies?
How often are transfers processed?
Can I withdraw money in a foreign currency from my OMCA?
Can I make transfers within or withdrawals from my OMCA via the telephone?
Can I un-do a transfer or withdrawal before it has been processed?
What level of interest do I get on my funds?
What tax do I have to pay on interest earned from my OMCA?
How do currency fluctuations affect my balance when converting money to and from NZ dollars?
How is interest paid?
How is income tax paid?


About OMCA

Open Account

Deposit Funds

Rates & Fees



Who provides the Online Multi-Currency Account (OMCA)?

The Online Multi-Currency Account is issued by ANZ Bank New Zealand Limited and managed by ANZ New Zealand Securities Limited.

Who can open an Online Multi-Currency Account (OMCA)?

Clients are only able to open an OMCA if they are a New Zealand tax resident and if they have an existing share trading account, or they are a New Zealand tax resident and they are opening an OMCA in conjunction with a new share trading account. We are unable to provide the OMCA to overseas tax residents due to the complexity of overseas tax rules.

Click here to apply for an OMCA account (200 KB)

Which currencies do I have access to?

Currencies available in the Online Multi-Currency Account are:

New Zealand Dollars (NZD), Australian Dollars (AUD), US Dollars (USD), Euro (EUR), British Pounds (GBP), Japanese Yen (JPY), Canadian Dollars (CAD), Swiss Francs (CHF), Hong Kong Dollars (HKD) and Singapore Dollars (SGD).

It says online; what does this mean?

The OMCA is primarily accessible through the ANZ Securities website via your existing username and password. Using our website, you may view balances, transactions and uncleared funds. You may also request to transfer funds between currencies within the OMCA or request NZD withdrawals to your nominated NZD account.

As the OMCA is an online account, monthly statements will be sent to your nominated email address. Any additional communications will be sent via email or online notices.

Do I get a discounted brokerage rate?

If you have sufficient funds in your OMCA to cover the cost of your buy orders, you will be charged at the NZD discounted brokerage rate of $29.90 up to $15,000 and 0.2% thereafter, or the AUD discounted brokerage rate of A$29.00 up to A$30,000 and 0.3% thereafter.

Note: the discounted rate only applies if the required funds are available in the NZD or AUD OMCA account  at the time you place your order.

Settlement of US/UK trades in USD/GBP will not attract the discounted brokerage rate as these trades are governed by our Custody Service and will be charged accordingly.

View our online share trading brokerage rates here.

Which currencies can I settle my share or bond trades in?

To purchase shares or bonds in AUD, USD or GBP you must have the required amount of funds available in the necessary account before you place your order.

MARKET SETTLEMENT METHOD...
NZX trades: NZD from the NZD OMCA
   
ASX trades: NZD from the NZD OMCA (foreign currency conversion margin applies)
  AUD from the AUD OMCA, if funds are available
   
US trades:     NZD from the NZD OMCA (foreign currency conversion margin applies)
  USD from the USD OMCA, if funds are available
   
UK trades:   NZD from the NZD OMCA (foreign currency conversion margin applies)
  GBP from the GBP OMCA, if funds are available

Can I pay my AU, US or UK dividends to the OMCA?

Clients who have an OMCA and who trade US/UK shares via our  Custody Service now have the ability to receive their incoming corporate action funds in the applicable currency – e.g. USD, GBP, EUR etc. You can select your payment method for US/UK dividends by going to My Preferences.

Australian dividends paid to you by Australian Dollar cheque can be posted to ANZ Securities and deposited into your AUD OMCA account. Please note that an 8 day clearance period applies for Australian Dollar cheques. The OMCA cannot accept Australian Dollar direct credit payments for Australian dividends.

Is there a minimum deposit or minimum balance needed to operate the OMCA?

No. However, if an OMCA account remains unfunded or inactive for a period of time, we reserve the right to close the account at our discretion.

Do I have to hold a balance in all of the 10 currencies?

No, you can choose to hold a balance in all, none or any of the 10 currencies of your choice once your OMCA has been opened. However, if an account remains unfunded or inactive for a period of time, we reserve the right to close the account at our discretion.

Are there any transaction charges or service fees?

There are no service or transaction fees. However, when a currency transaction occurs, a margin between the wholesale rate and the rate provided to you will be applied. More information on foreign currency conversion can be found here.

How can I deposit funds?

You can view deposit instructions and the bank account details for your OMCA here.

When can I withdraw funds?

Funds can be withdrawn (overnight) from your NZD OMCA on any NZ business day before 4:00pm NZT. If your withdrawal request is placed on an NZ public holiday, on a weekend or after 4:00pm NZT, funds with be withdrawn overnight on the next business day.

Note: the withdrawal of funds only applies to NZD.

When can I transfer money between currencies?

Funds can be transferred on any NZ or currency issuing country's business day between the hours of 9:00am and 6:00pm NZT. If your transfer request is placed on an NZ public holiday, on a public holiday in the currency issuing country, on a weekend or after 6:00pm NZT, funds will be transferred overnight on the next business day.

How often are transfers processed?

Transfer instructions are processed at least once every hour from 9:00am NZT until 6:00pm NZT during New Zealand business days.

Investors should note that due to the hourly processing of transfers, the OMCA is not suitable for short-term currency speculation. Read more.

Can I withdraw money in a foreign currency?

If you wish to withdraw a non-NZD currency from your OMCA you must first transfer it to the NZD OMCA and then withdraw the exchanged NZD amount.

Can I make transfers within or withdrawals from my OMCA via phone?

Clients are encouraged to use our website to conduct transfers or withdrawals, however in cases where internet access is not available you may call 0800 805 777 and ask us to do a transaction on your behalf.

Can I un-do a transfer or withdrawal before it has been processed?

You will be given the opportunity to amend or cancel your instruction before you confirm it, but once it has been confirmed (on screen by you) and sent for processing it cannot be reversed.

What level of interest do I get on my funds?

The level of interest earned on each currency varies based on the amount of funds deposited and on the prevailing wholesale interest rate. Note: some currencies may display an interest rate of 0% if the wholesale rates are too low to support a retail interest rate.

To view the most current interest rates, click here.

What tax do I have to pay on interest earned from my OMCA?

All OMCA account holders pay Resident Withholding Tax (RWT) on any interest that is earned in their OMCA. The relevant RWT rate must be provided when establishing an OMCA.

If you do not advise ANZ Securities of the tax rate to be applied to your investment, or you do not provide your IRD number when applying to establish an OMCA, RWT will be deducted at the highest rate (currently 33%).

Please note that ANZ Securities is unable to give advice on tax related matters; we suggest you seek independent taxation advice from your tax advisor or accountant.

How do currency fluctuations affect my balance when converting money to and from New Zealand dollars?

When converting New Zealand dollars to a foreign currency, the amount in the foreign currency you receive is dependant on the exchange rate at the time of the conversion. As a result, if you are holding money in a foreign currency, as that currency exchange rate fluctuates the equivalent amount in NZD also fluctuates.

How is interest paid?

Interest is calculated daily and paid monthly on the balance of applicable currencies.

How is income tax paid?

Resident Withholding Tax (RWT) is deducted monthly from the interest earned on relevant currencies and converted into New Zealand Dollars for payment to the Inland Revenue Department (IRD) on the same day, using a margin-free rate approved by the IRD.


^ Back to top