New Zealand’s new Active Investor Plus Visa, which will replace prior investor visas, was announced in September 2022.
Since July 2022, New Zealand’s Residency by Investment Programs, such as the Investor 1 and Investor 2 visas, have been phased out.
The Active Investor Plus Visa, which needs a 15 million New Zealand dollar investment, is intended to attract valuable investors and stimulate investment that benefits the local economy.
The visa allows applicants to stay in the nation indefinitely if they meet all of the investment and time-in-country conditions and benefit from New Zealand’s economy.
Active Investor Plus Visa
Apply for this visa if you want to live, work, or invest in New Zealand. You must have at least NZD $15 million in available assets or funds, or the weighted equivalent.
You can live, work, and study in New Zealand with this visa, and you can include your partner and dependant children aged 24 and under in your visa application.
You can apply for permanent residency after four years if you retain your funds in New Zealand. After your application has been approved in principle, you can apply for a work visa and arrange for the transfer and investment of your funds in New Zealand.
If your partner wishes to accompany you, they must apply for their own guest visa. Your dependent children are eligible to apply for student visas.
For this New Zealand Investor Visa, you must invest NZD $15 million, or the weighted equivalent, in eligible New Zealand investments.
What factors influence the acceptability of an investment?
A good investment for the Active Investor Plus Visa means an investment of funds that: 1. is not for the applicant’s own use, 2. is in New Zealand in New Zealand currency, and 3. is invested in one or more of the following:
a. listed shares, b. philanthropy, c. managed funds, or d. direct investments.
The acceptable investment is assessed at the time of investment and must continue to meet the criteria for an acceptable investment during the 48-month investment period.
The investment value is determined at the time of purchase, taking into account investment costs (such as management fees), brokerage fees, and transaction fees.
The grading system
Acceptable investments are weighted differently toward the NZD $15 million investment criterion. You can invest in a mix of these.
Direct investments in a private company will be given the most weight (3x). This means you might meet the investment requirement by investing NZD $5 million on direct investment.
Advantages of Investing in New Zealand Residence
- High living standards, multicultural population, and low population density
- Residence for a spouse and dependent children up to the age of 24
- Political, social, and economic stability, with many high end finance companies
- Strong legal system founded on English law
- No gift, estate, or wealth tax, as well as no capital gains tax, and relatively medium personal income tax base.
New Zealand Active Investor Plus Visa Program Requirements
Applicants must meet all of the following requirements to be eligible for residency:
- Invest between NZD 5 million and NZD 15 million over a four-year period.
- Have good health and character.
- Spend 117 days in New Zealand throughout your four-year residency.
- Demonstrate proficiency in the English language
To meet the NZD 15 million investment criterion, the following assets may be invested in and weighted accordingly:
- Direct investments in qualified companies. These will be weighted three times.
- Contributions to approved managed funds (private equity or venture capital funds). These will be weighted twice.
- Philanthropy and investment in listed equities. These will be weighted 1x (and each will be limited to 50% of the NZD 15 million investment requirement).
Procedures and time frame for acquiring New Zealand residency through investment
Applications must contain completed application forms, as well as the relevant fees and supporting documentation. From application submission to approval, the processing duration is eight to nine months.
Investments can be made over three years (with a fourth year of maintenance). Investors can apply for permanent residence after four years of retaining their funds in New Zealand and meeting the standards for minimum time spent in the nation. Residents can support their parents’ application under the Parent Retirement category after four years and meeting the investment and time-in-country requirements.
If a family member is included in the resident visa, they must visit New Zealand within 12 months of their visa being issued but are not obligated to stay for a set period of time. Family members aged 16 and above must also meet English language standards, or they can pre-purchase ESOL tuition to be completed once in New Zealand.
A visa holder may reside anywhere in New Zealand and study as a domestic student at any school or tertiary education provider in the country.
Visa holders must normally be residents of New Zealand in order to purchase residential real estate. Those who spend the bare minimum of time in the country are likely to be forced to get purchase authorization.
This criteria is waived if they have resided in New Zealand and been physically present for at least 183 days in the previous 12 months and are a tax resident.
