The Australian Securities and Investments Commission (ASIC) has extended relief for managed investment schemes and superannuation trustees in fulfilling certain disclosure obligations, as the government takes further time to decide upon its position.
The two relevant instruments had been due to expire on 30 June 2018, but these extensions will maintain the status quo in the meantime and enable the regulator to adjust or revoke the relief once the Government settles its policy position.
ASIC explained that the first instrument provides relief to exclude multi funds, superannuation platforms and hedge funds from disclosure requirements of the shorter product disclosure statement (PDS) regime under the Corporations Regulations 2001.
The shorter PDS regime requires disclosure for certain financial products to be presented in a short and simple way. However, given that multi funds, superannuation platforms and hedge funds are complex products, there are questions about the appropriate application of the shorter PDS regime to these products, the regulator said.
Following an announcement made by the then Government, ASIC first provided relief under the class order in 2012. Since then, ASIC said it has extended relief in successive instruments to permit the policy position in relation to operation of the shorter PDS regime to be “further considered”.
Under the extension, issuers of multi funds, superannuation platforms and hedge funds remain subject to the full PDS requirements, it said.
ASIC further explained that the second instrument provides relief from section 29QB of the Superannuation Industry (Supervision) Act 1993 to the extent it requires the publication on superannuation fund websites of personal information and information about standard employer sub-plans.
ASIC said it first provided this relief by class order in 2014, and since then has extended the period of relief in successive instruments.
“This has been to facilitate Government consideration of industry feedback in relation to the operation of section 29QB to require potentially sensitive information in relation to the commercial terms negotiated with different employer sponsors,” the regulator said.
ASIC said that under the extension, the relief in relation to the operation of section 29QB, to the extent it requires the publication of personal information, continues unaffected.