Senate

Corporations Amendment (Asia Region Funds Passport) Bill 2018

Revised Explanatory Memorandum

(Circulated by authority of the Minister for Revenue and Financial Services, Minister for Women and Minister Assisting the Prime Minister for the Public Service, the Hon Kelly O'Dwyer MP)
This memorandum takes account of amendments made by the House of Representatives to the bill as introduced.


Willis Towers Watson, Global Pension Assets Study 2017 , 2017, at 29.


For simplicity, the term CIS is used generically to refer to all corporate investment vehicles.


The MOC is available under key documents at http://fundspassport.apec.org/resources/.


Singapore participated in the discussions leading to the formation of the MOC but to date have not become a signatory to the MOC.


Note: Singapore is not currently a signatory to the MOC but has been added because it was a signatory to the earlier Statement of Intent.


It is also envisaged that corporate collective investment vehicles will be able to be registered as a passport fund once the regulatory framework for corporate collective investment vehicles is implemented (see Chapter 1 of this Explanatory Memorandum). Consequential amendments to Chapter 8A will be required to give effect to that outcome.


See paragraph 2.47 for the definition that applies for 'Australian member'.


New subsection 111AE(1B) (inserted by Schedule 2, item 61) defines ED security for the purposes of notified foreign passport funds.


Prescribed financial markets are defined in regulation 1.0.02A of the Corporations Regulations 2001 .


See paragraph 2.47 for the definition of 'Australian member'.


See Australian Law Reform Commission, Traditional Rights and Freedoms - Encroachments by Commonwealth Laws ( ALRC Report 129 ), December 2015. The report is available at https://www.alrc.gov.au/publications/freedoms-alrc129 (accessed December 2017).


Assuming an average funds under management fee of 0.8 per cent.


This is before consideration of total regulatory impacts; see page 14 - new regulatory impacts .


Deloitte Access Economics/Financial Services Council, The economic impact of increasing Australian funds management exports , 2014 , available at: https://fsc.org.au/_entity/annotation/7b809d3e-bfc6-e611-80d2-00155dea4d00


Asia-Pacific Economic Cooperation Policy Support Unit, Asia Region Funds Passport - A study of Potential Economic Benefits (July 2014), available at:: http://publications.apec.org/publication-detail.php?pub_id=1535


Asia Pacific Financial Forum 2014 Interim Report to APEC Finance Ministers, page 47, available at: http://www.ncapec.org/events/APFF/APFF%20Interim%20Report%202014-06-30%20clean.pdf


Asia-Pacific Economic Cooperation Policy Support Unit, Asia Region Funds Passport - A study of Potential Economic Benefits (July 2014).


Ibid.


IOSCO Objectives and Principles of Securities Regulation , available from http://www.iosco.org/library/pubdocs/pdf/IOSCOPD154.pdf


Arrangements for an Asia Region Funds Passport, available at: http://fundspassport.apec.org/consultation-paper


Arrangements for an Asia Region Funds Passport, available at: http://fundspassport.apec.org/consultation-paper/


See paragraph 2.47 of the Explanatory Memorandum for the definition of 'Australian member' under the new law.


Parliamentary Joint Committee on Human Rights, General Comment No 43 Article 14 : Right to equality before courts and tribunals and to a fair trial , CCPR / C / CG / 32 , 23 August 2007 , [ 30 ].


Parliamentary Joint Committee on Human Rights, Practice Note 2 : Offence provisions , civil penalties and human rights , December 2014.


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