Corporations Act 2001
(a) a person (the holder ) of a financial product acquired the financial product as a retail client (whether or not it was acquired from the issuer); and
(b) the product is:
(i) a managed investment product; or
(ia) a foreign passport fund product; or
(ii) a superannuation product; or
(iii) an RSA product; or
(iv) an investment life insurance product; or
(v) a deposit product; or
(va) a margin lending facility; or
(vi) specified in regulations made for the purposes of this paragraph; and
(i) the financial product was offered in this jurisdiction; or
(ii) the holder applied for the financial product in this jurisdiction;
the issuer of the product must, in accordance with subsections (2) to (6), give the holder a periodic statement for each reporting period during which the holder holds the product.
Note: Failure to comply with this subsection is an offence (see subsection 1311(1) ).
The following provisions apply in relation to reporting periods:
(a) each reporting period lasts for a period, not exceeding 1 year, determined by the issuer;
(b) the first reporting period starts when the holder acquired the product;
(c) each subsequent reporting period starts at the end of the preceding reporting period;
(d) if the holder ceases to hold the product, the period starting at the end of the preceding reporting period and ending when the holder ceases to hold the product is a reporting period.
[ CCH Note: For substituted s 1017D(2)(a), see Corporations Regulations Schedule 10A, Part 16 - Modifications relating to reporting periods, item 16.1]
The periodic statement must be given as soon as practicable after, and in any event within 6 months after, the end of the reporting period to which it relates.
[ CCH Note: For s 1017D(3A) - (3D), see Corporations Regulations Schedule 10A, Part 12 - Modifications relating to information when member leaves a fund, item 12.1]
The periodic statement must give the holder the information that the issuer reasonably believes the holder needs to understand his or her investment in the financial product.
The periodic statement must include the following if they are relevant to the financial product:
(a) opening and closing balances for the reporting period;
(b) the termination value of the investment at the end of the reporting period (to the extent to which it is reasonably practicable to calculate that value for the investment or a component of the investment);
(c) details of transactions in relation to the product during the reporting period as required by regulations made for the purposes of this paragraph;
(d) any increases in contributions in relation to the financial product by the holder or another person during the reporting period;
(e) return on investment during the reporting period (on an individual basis if reasonably practicable to do so and otherwise on a fund basis);
(f) details of any change in circumstances affecting the investment that has not been notified since the previous periodic statement;
(g) details prescribed by regulations made for the purposes of this paragraph.
Unless in accordance with the regulations:
(a) for information to be disclosed in accordance with paragraphs (5)(a), (b), (c), (d) and (e), any amounts are to be stated in dollars; and
(b) for any other information in relation to amounts paid by the holder of the financial product during the period, any amounts are to be stated in dollars.
The periodic statement must be given in one of the following ways:
(a) in writing; or
(b) electronically; or
(c) in a way specified in the regulations.
The periodic statement need not be given if the issuer has already given the holder all the information that would be included in the periodic statement if it were to be given.
Note: A defendant bears an evidential burden in relation to the matters in this subsection.
[ CCH Note: For s 1017D(8) - (17), see Corporations Regulations Schedule 10A, Part 7 - Modifications relating to life pensioners, members subject to compulsory protection of small amounts and members with small amounts that are expected to grow quickly, item 7.1 and Part 8 - Modifications relating to periodic statements for RSA providers, item 8.1. For s 1017D(8) and (9), see Corporations Regulations Schedule 10A, Part 13 - Modifications relating to exceptions to exit reporting period provisions, item 13.1. For s 1017D(8) - (10), see Corporations Regulations Schedule 10A, Part 14 - Modifications relating to obligation to give information about financial products, item 14.3]