Corporate Collective Investment Vehicles – Regulations

The Government has released for public consultation the following:

Together, the draft regulations and rules implement key elements of the corporate collective investment vehicle (CCIV) regulatory framework, to support the operation of the Corporate Collective Investment Vehicle Framework and Other Measures Bill 2021.

The draft regulations put in place arrangements in relation to the following key areas:

  • Requirements for financial reporting and record keeping.
  • Arrangements for voting in the context of cross‑investment.
  • Requirements for custody of CCIV assets, including where assets are held in an offshore jurisdiction or held in an omnibus account.
  • Restrictions on cross‑investment and consideration of other rules regarding the management of a CCIV’s share capital.

The draft regulations also include various consequential amendments to Chapter 7 of the Corporations Regulations 2001 to ensure that the short‑form PDS regime that is currently available for ‘simple managed investment schemes’ is also available to and works appropriately for CCIVs in comparable circumstances.

The draft rules include consequential amendments to the Corporations (Passport) Rules 2018 to facilitate the passporting of sub‑funds of a retail CCIV consistent with the regulatory framework for CCIVs.

You can submit responses to this consultation up until 21 January 2022.

Further information can be accessed here.


Remake of the sunsetting super co-contribution regulations

The existing Superannuation (Government Co‑contribution for Low Income Earners) Regulations 2004 (2004 regulations) are due to sunset on 1 April 2022. The draft Superannuation (Government Co‑contribution for Low Income Earners) Regulations 2022 (the draft regulations) are being made to ensure the continued operation of the super co‑contribution.

The draft regulations improve the 2004 Regulations by omitting redundant provisions, simplifying language and restructuring provisions for ease of navigation. This includes minor changes to increase the use of headings and references to “section” rather than “regulation” in accordance with modern drafting practice.

The only substantive changes in the draft regulations are:

  • amending the definition of an eligible account so that it excludes those which only provide terminal medical condition benefits in addition to the existing exclusion on accounts which provide only death or incapacity benefits. This change is consistent with the intention that the super co‑contribution not be paid to insurance only accounts, where the contribution would subsidise the payment of insurance premiums rather than contribute to increasing an individual’s retirement savings; and
  • clarifying the operation of section 7 relating to where a Government co‑contribution is to be directed in specific circumstances. The draft regulations ensure that only one item will apply in the event of multiple circumstances being applicable.

Further details on the draft regulations are contained in the Explanatory Statement. The community’s views are sought on the draft regulations.

You can submit responses to this consultation up until 14 January 2022.

Further information can be accessed here.

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