NEWS

Background The shorter PDS regime commenced in June 2012. Recently, ASIC has reviewed a sample of shorter PDS for superannuation and simple managed investment schemes in order to gauge how well PDS issuers were complying with the new regime and identify any measures needed to increase compliance. ASIC found issuers had made a good effort…

A recent decision by Justice Robson of the Victorian Supreme Court (Re Krypton Nominees Pty Ltd [2013] VSC 446 (handed down 27 August 2013)) has highlighted the difficulty that can be associated with deciding when an investor is considered sophisticated enough not to require a product disclosure statement (PDS). BACKGROUND FACTS Justice Ross Robson of…

INTRODUCTION On 3 October 2013 Australian Securities and Investments Commission (ASIC) released final guidance notes which, amongst other things, refined the definition of a ‘hedge fund’ to ensure such disclosure requirements are appropriately targeted at those funds that pose more complex risks to investors. Following extensive consultation with industry, Class Order [CO 13/1128] Amendment of…

Asia Pacific Economic Cooperation ministers from Australia, Singapore, New Zealand and South Korea have recently signed a statement of intent to develop a framework that will facilitate regional cross-border fund sales. The Passport will allow fund managers working in one signed-up economy to sell their funds in other member economies. It is understood that other…

The Australian debt landscape In Australia, the banks’ share of the primary loan market is estimated to be around 95%, versus 16% in the United States and 54% in Europe. This statistic is accentuated when considering the lack of alternative sources of funding for Australian corporates beyond the primary lender market. The global trends point…

On 13 August 2013, the government revised the minister’s instrument specifying ‘Eligible Managed Fund Investments’ for the significant investor visa regime to include, amongst other things, derivatives (within limits). The changes are good news for investors and ASIC regulated fund managers who can now offer a broader range of investment classes to SIV applicants. What’s…

On 5 August 2013, the Assistant Treasurer, David Bradbury, announced further changes to the Managed Investment Trust (MIT) tax regime, stating “these changes will further reduce compliance costs under the new regime and provide certainty to taxpayers”. The Assistant Treasurer’s announcement comes in response to specific issues raised during the Government’s on-going consultation with the…

The Future of Financial Advice (“FOFA”) reforms are a package of significant reforms for financial advisory businesses, which became mandatory on 1 July 2013. The FOFA legislation package is contained in the following two Acts: Corporations Amendment (Future of Financial Advice) Act 2012; and Corporations Amendment (Further Future of Financial Advice Measures) Act 2012. Prospective…

For investors wishing to invest in Australia there are a number of products and structures available on the domestic and international market.  It is up to each investor to determine which structure, investment class and horizon is the most effective for them taking into account the commercial and taxation implications and their personal investment objectives….

Previously it was possible for an Australian fund manager to market an Australian fund to wholesale investors in certain European Union Member States without the need for the manager or the fund to be registered or authorized in the European Union (“EU”). The Alternative Investment Fund Managers Directive (“AIFMD”), which is due to come into…