Licensing and disclosure: Making the transition to the FSR regime

LICENSING AND DISCLOSURE: MAKING THE TRANSITION TO THE FSR REGIME
SECTION 2: PRODUCT DISCLOSURE
2.2 What law operates during the transition
period?
Existing financial products
2.2.1 Under the transitional provisions, the old product disclosure
regulatory regime (if any) for an existing financial product
continues to apply during the transition period for that product.
2.2.2 The old product disclosure regulatory regime that applies,
together with any associated provisions, during the transition
period despite its repeal or amendment by the FSR legislation is:
(a) for managed investment products — all the provisions of
Chapter 6D of the old Corporations Act (other than s722 of
that Act);
(b) for derivatives — s1210 of the old Corporations Act will
apply to futures contracts as defined under that Act;
(c) for superannuation products — s153, 153A and 157–167 of
the Superannuation Industry (Supervision) Act 1993 as in
force immediately before FSR commencement on 11
March 2002;
(d) for RSA products — s51, and 53–60 of the Retirement
Savings Accounts Act 1997 as in force immediately before
FSR commencement on 11 March 2002;
(e) for insurance products — s71A and 73 of the Insurance
Contracts Act 1984 as in force immediately before FSR
commencement on 11 March 2002.
Note 1: “Associated provisions” under the transitional provisions includes
regulations, instruments (including the class orders set out in our forthcoming
FSR policy statement Disclosure: Discretionary powers and transition), any
relevant interpretative provisions or other provisions affecting the operation of
the core provisions, and provisions relating to civil and criminal liability.
Under the transitional provisions, ASIC may vary or revoke the existing class
orders that will apply during the 2-year transitional period. We may revoke
existing class orders where the relief will no longer be necessary (eg when we
give new relief under the FSR Act that will operate during and after the 2-year
transitional period).
Australian Securities and Investments Commission — October 2001
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