ASIC overhauls funds management guidance

ASIC has released a suite of new and updated guidance for the funds management industry for consultation.

The six new and updated regulatory guides have been developed in advance of the upcoming new Asia Region Funds Passport and corporate collective investment vehicle (CCIV) legislation, taking into account these new areas as well as bringing ASIC’s funds management policy up to date across the board.

ASIC Commissioner John Price said that the new and updated guidance aims to provide up-to-date advice while simultaneously reducing regulatory burden.

‘We saw a real opportunity to substantially update and consolidate our main regulatory guides that apply to managed investment schemes as part of considering what policy should be for the new CCIV and Asia Region Funds Passport regimes’, said Commissioner Price. ‘Our aim is to provide clarity and reduce duplication on matters in relation to funds management.’

ASIC proposes to consolidate its core guidance for the funds management industry into 6 regulatory guides covering topics:

  • establishing an registering a fund
  • constitutions
  • compliance and oversight
  • asset holding
  • how we may exercise our exemption or modification powers and common forms of relief we may grant
  • entry and ongoing requirements for foreign passport funds.

The guidance will reflect ASIC’s current views on these topics, and apply to managed investment schemes, CCIVs, Australian passport funds and certain other AFS licensees involved in funds management.

ASIC will develop an information sheet on funds management governance considerations and make a range of less substantive amendments to other regulatory guides. These amendments will reflect the consequential amendments that will be made to the Corporations Act to accommodate the new regimes.

ASIC will be holding an information session for funds managers about the new and updated guidance.



The CCIV regime will be implemented in Australia through the Treasury Laws Amendment (Collective Investment Vehicle) Bill 2017 and a further Bill enacting consequential amendments to other legislation, including the Corporations Act.

The CCIV regime will be an optional alternative to the existing managed investments regime in Chapter 5C of the Corporations Act.

The Asia Region Funds Passport will provide a multilaterally agreed framework to facilitate the cross-border marketing of passport funds across participating economies in the Asia region. It is proposed to be applied in Australia by new legislative provisions.

The Asia Region Funds Passport will be implemented in Australia through:

  1. the Corporations Amendment (Asia Region Funds Passport) Bill 2017
  2. a legislative instrument enacting the Passport Rules in Annex 3 to the Memorandum of Cooperation, and
  3. consequential amendments to other legislation, including the Corporations Act—a further Bill enacting these consequential amendments will follow.

The Asia Region Funds Passport is an initiative of the Asia Pacific Economic Cooperation Group (APEC).

© Australian Securities & Investments Commission. Reproduced with permission.