Document ID: chunk:federal_register_of_legislation:F2024L00374:body:0:p1
Version: federal_register_of_legislation:F2024L00374
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ASIC Corporations (Asset Holding Standards for Responsible Entities) Instrument 2024/16
I, Kate Metz, delegate of the Australian Securities and Investments Commission, make the following legislative instrument.

Date 21 March 2024

Kate Metz

Contents

Part 1—Preliminary
1 Name of legislative instrument
2 Commencement
3 Authority
Part 2—Declaration
4 Minimum standards for holding scheme property or assets
Part 3—Exemption
5 Omnibus accounts
Part 4—Repeal
6 Repeal

Part 1—Preliminary

1 Name of legislative instrument
This is the ASIC Corporations (Asset Holding Standards for Responsible Entities) Instrument 2024/16.

2 Commencement
This instrument commences on the day after it is registered on the Federal Register of Legislation.
Note: The register may be accessed at www.legislation.gov.au.

3 Authority
This instrument is made under paragraphs 601QA(1)(a) and (b) of the Corporations Act 2001.

       Part 2—Declaration

4 Minimum standards for holding scheme property or assets
 Chapter 5C of the Act applies to a responsible entity as if Part 5C.2 were modified or varied by before section 601FD inserting:
           "601FCAA Minimum standards for asset holders
(1) The responsible entity must:
                  (a) do all things necessary to ensure that a custodian holds the scheme property or assets on trust for the responsible entity (whether directly or by holding a beneficial interest in scheme property or assets held by a sub-custodian) except where any of the following apply:
(i) where both of the following apply:
(A) the property or assets are located in a place outside of this jurisdiction where trusts are not known to the law;
(B) it is reasonable for the property or assets to be held in accordance with the law in that place;
(ii) where both of the following apply:
(A) the property or assets are located in a place outside of this jurisdiction and it is not reasonable for the property or assets to be held on trust in accordance with the law in that place;
(B) the responsible entity has documented in writing that:
                            (I) it is satisfied that the property or assets are held in a manner that, having regard to the relevant laws, provides reasonably effective protection in case of insolvency of the person holding the property or assets; and
                            (II) the basis on which the responsible entity is satisfied;
(iii) the property or assets are held by a member of the scheme or the responsible entity; and
(b) have reasonable procedures for giving instructions to the custodian or where there is no custodian, custodial staff in relation to the scheme property or assets that include how the instructions are given and reasonable controls to ensure that the instructions are properly authorised and carried out; and
(c) do all things necessary to ensure that a custodian that holds scheme property:
(i) as far