CORPORATIONS ACT 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.5 - COMPENSATION REGIMES FOR FINANCIAL MARKETS  

Division 1 - Preliminary  

SECTION 880B   DEFINITIONS  

880B(1)   [ Definitions]  

In this Part:

adequate
has a meaning affected by subsection (2).

borrowing
includes obtaining credit.

compensation arrangements
are arrangements that consist of:


(a) a set of rules about compensation; and


(b) a source of funds from which compensation is payable; and


(c) associated administrative and monitoring arrangements.

compensation rules
means rules referred to in paragraph (a) of the definition of compensation arrangements .

Division 3 arrangements
means compensation arrangements approved under Division 3 .

Division 3 loss
means a loss described in section 885C , other than a loss that section 885D provides is to be taken not to be a Division 3 loss.

Division 4 arrangements
means the arrangements constituted by Division 4 .

fidelity fund
, in relation to a financial market, means a fund consisting principally of contributions made by:


(a) participants and past participants in the market; or


(b) participants and past participants in:


(i) the market; and

(ii) one or more other financial markets;

the purpose, or the main purpose, of which is to provide a source of funds for the payment of compensation to clients of participants. Any investments made using money in the fund are taken to form part of the fund.

NGF
means the National Guarantee Fund that continues in existence under section 889A .

operating rules
, in relation to the SEGC, means the rules referred to in section 890D .

Part 7.5 arrangements
means Division 3 arrangements or Division 4 arrangements.

pay
compensation includes provide compensation in a form other than money.

SEGC
means the body corporate in relation to which a nomination as the Securities Exchanges Guarantee Corporation is in force under section 890A .

880B(2)   [ ``Adequate'' compensation arrangements]  

For the purposes of this Part, the question whether proposed compensation arrangements, compensation arrangements as proposed to be changed, or compensation arrangements that have been approved, are adequate is to be determined in accordance with Subdivision D of Division 3 .


 

Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited

CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.

The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.