CORPORATIONS ACT 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.6 - LICENSING OF PROVIDERS OF FINANCIAL SERVICES  

Division 1 - Preliminary  

SECTION 910A   910A   DEFINITIONS  


In this Part, unless the contrary intention appears:

basic banking product
has the meaning given by section 961F .

body corporate licensee
means a body corporate that:


(a) is a financial services licensee; and


(b) is authorised to provide personal advice to retail clients in relation to relevant financial products.

class of product advice
means financial product advice about a class of products, but does not include a recommendation about a specific product in the class.

Code of Ethics
means the Code of Ethics, as in force from time to time, made by the standards body under paragraph 921U(2)(b) .

compliance scheme
has the meaning given by section 921G .

consumer credit insurance
has the meaning given by section 11 of the Insurance Contracts Act 1984 .

control
, in relation to a body corporate licensee, means:


(a) having the capacity to cast, or control the casting of, more than one half of the maximum number of votes that might be cast at a general meeting of the licensee; or


(b) directly or indirectly holding more than one half of the issued share capital of the licensee (not including any part of the issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital); or


(c) the capacity to control the composition of the licensee ' s board or governing body; or


(d) the capacity to determine the outcome of decisions about the licensee ' s financial and operating policies, taking into account:


(i) the practical influence the person can exert (rather than the rights it can enforce); and

(ii) any practice or pattern of behaviour affecting the licensee ' s financial or operating policies (whether or not it involves a breach of an agreement or a breach of trust).

covers
, in relation to a compliance scheme, has the meaning given by section 921J .

CPD year
(short for continuing professional development year): a financial services licensee ' s CPD year is the 12-month period beginning on the day of the year included in the most recent notice given by the licensee under section 922HA .

education and training standards
has the meaning given by section 921B .

foreign qualification
means a bachelor or higher degree, or equivalent qualification, awarded by a tertiary education institution outside Australia.

limited-service time-sharing adviser
: a person is a limited-service time-sharing adviser if:


(a) the person is a relevant provider; and


(b) the only relevant financial product that the person provides advice in relation to is a time-sharing scheme; and


(c) the person has not met any one or more of the education and training standards in subsections 921B(2) to (4) .

monitoring body
for a compliance scheme means the person that monitors and enforces compliance with the Code of Ethics under the scheme.

notice provision
means section 922D , 922H , 922HA , 922HB , 922HD , 922J or 922K .

professional association
means a body or association that represents a section of the financial services industry.

provisional relevant provider
means a relevant provider who is undertaking work and training in accordance with subsection 921B(4) .

Note: For rules relating to provisional relevant providers, see Subdivision C of Division 8A and section 923C .

recent advising history
has the meaning given by section 922G .

Register of Relevant Providers
means the Register of Relevant Providers maintained under section 922Q .

relevant financial products
means financial products other than:


(a) basic banking products; or


(b) general insurance products; or


(c) consumer credit insurance; or


(d) a combination of any of those products.

relevant provider
: a person is a relevant provider if the person:


(a) is an individual; and


(b) is:


(i) a financial services licensee; or

(ii) an authorised representative of a financial services licensee; or

(iii) an employee or director of a financial services licensee; or

(iv) an employee or director of a related body corporate of a financial services licensee; and


(c) is authorised to provide personal advice to retail clients, as the licensee or on behalf of the licensee, in relation to relevant financial products.

Note: For rules about when relevant providers can use the expressions " financial adviser " and " financial planner " , see section 923C .

representative
of a person means:


(a) if the person is a financial services licensee:


(i) an authorised representative of the licensee; or

(ii) an employee or director of the licensee; or

(iii) an employee or director of a related body corporate of the licensee; or

(iv) any other person acting on behalf of the licensee; or


(b) in any other case:


(i) an employee or director of the person; or

(ii) an employee or director of a related body corporate of the person; or

(iii) any other person acting on behalf of the person.

standards body
means the body corporate in relation to which a declaration under section 921X is in force.

supervisor
of a provisional relevant provider has the meaning given by subsection 921F(2) .


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