ASIC consults on remaking class order on Exchange Traded Funds (ETFs)

ASIC is seeking feedback from the investment management industry on our proposal to remake the ASIC Class Order [CO 13/721] Relief to facilitate quotation of exchange traded funds on the AQUA (ASX Quoted Assets) Market.

Consultation Paper 374 Remaking ASIC Class Order on Exchange Traded Funds: [CO 13/721] sets out ASIC’s proposed amendments to [CO 13/721].

[CO 13/721] affords equal treatment relief for responsible entities and corporate directors (issuers), ongoing disclosure relief, relevant interest relief as well as substantial holding and beneficial trading relief for issuers. The class order is due to expire on 1 April 2024.

ASIC proposes to continue the relief currently provided in [CO 13/721] with an amendment to provide an extension of the current relief to a broader class of ETFs. This includes all types of quoted managed investment schemes and sub-funds of a corporate collective investment vehicle (CCIV), not limited to those funds which are passively managed and track an index. However, we do not propose to extend the legislative instrument to funds which employ internal market making.

Leave a Reply

Your email address will not be published. Required fields are marked *