FURTHER CONSULTATION ON REVISED ASIA REGION FUNDS PASSPORT LEGISLATION

The Turnbull Government is seeking further public comment on revisions to draft legislation for the Asia Region Funds Passport (Passport) following substantive consultations occurring between December 2017 and January 2018.

Whilst the revisions are minor, they are important for ensuring Australian consumers are protected, by extending the penalty notices regime and consumer protections measures in the Corporations Act and the ASIC Act to notified foreign passport funds, and addressing administrative processes for deregistration and removal of passport funds.

“Having met with fund managers from across the region at the Hong Kong Financial Forum last month, it was good to hear the enthusiasm and perspectives from industry participants for this regional initiative,” the Hon Kelly O’Dwyer, Minister for Revenue and Financial Services said.

The legislation continues the Government’s work to implement arrangements set out in the Passport’s Memorandum of Cooperation between signatories Australia, Japan, Korea, New Zealand and Thailand. 

The Passport will allow Australian funds managers to offer their products into Asia without having to go through duplicative approval processes in each economy.

“It is great to see that a number of businesses have already become involved, by getting in early to work with regulators to develop a viable product through the Pilot Program recently announced by the Passport Joint Committee. I encourage more businesses to participate in this process.”

The draft legislation and supporting materials are available on the Treasury website. Consultation will close on 5 March 2018.