Corporations Act 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

Note: This Chapter applies to a CCIV in a modified form: see Division 4 of Part 8B.7 .

PART 7.1 - PRELIMINARY  

Division 3 - Meaning of financial product and related terms  

Subdivision B - The general definition  

SECTION 763A   MEANING OF FINANCIAL PRODUCT  

763A(1)    

A financial product is a facility through which, or through the acquisition of which, a person does one or more of the following:

(a)    

makes a financial investment;

(b)    

manages financial risk;

(c)    

makes non-cash payments.

763A(2)    

A particular facility that is of a kind through which people commonly make financial investments, manage financial risks or make non-cash payments is a financial product even if that facility is acquired by a particular person for some other purpose.

763A(3)    
A facility does not cease to be a financial product merely because:

(a)    the facility has been acquired by a person other than the person to whom it was originally issued; and

(b)    that person, in acquiring the product, was not making a financial investment or managing a financial risk.