Document ID: chunk:federal_register_of_legislation:F2023C00839:body:0:p3
Version: federal_register_of_legislation:F2023C00839
Segment Type: other
Provision Reference: 
Character Range: 5291–7975

interests (other than options for the issue of interests) where all of the following apply:
(a) the interests are issued under an arrangement under which the whole or part of any money payable to a member under the constitution, by way of distribution of capital or income, is applied in payment for the issue of the interests;
(b) each member of the scheme (except those foreign members (if any) that the responsible entity has excluded under subsection (11)), may from time to time elect to participate in the arrangement as to the whole, or some proportion, of the distributions which are, or would otherwise be, payable to that member;
(c) all the interests issued under the arrangement are in the same class;
(d) the price of each interest issued under the arrangement in relation to any particular distribution is the same;
(e) all interests issued under the arrangement in relation to any particular distribution are issued at substantially the same time;
(f) the responsible entity reasonably believes that the amount by which the price of an interest is less than the amount that would otherwise apply under the constitution does not exceed a relevant maximum percentage specified in the constitution.

Negotiated fees
(6) The responsible entity may set the amount of the consideration to acquire interests where:
(a) the responsible entity and a person (the wholesale client) as a wholesale client within the meaning of section 761G agree on consideration that is equal to the price at which interests would be issued under the constitution, in the absence of this section, less a reduction (a fee reduction) in the fees that are payable to the responsible entity for the issue of the interests; and
(b) the responsible entity has given all members a statement that fees may be individually negotiated with persons as wholesale clients on or before the first date when the responsible entity sends communication to all members after a fee reduction is first offered; and
(c) each Product Disclosure Statement for interests in the scheme contains a statement that fees may be individually negotiated with persons as wholesale clients; and
(d) the fee reduction does not adversely affect the fees that are paid or to be paid by any other member of the scheme who does not have the benefit of a fee reduction.

           Schemes where there is limited or no pooling

(7) The responsible entity may set the amount of the consideration to acquire interests where the only contributions that may be used in common with or pooled with any other asset in the scheme are:
(a) money placed in a bank account held by the responsible entity on trust; or
(b) not proprietary rights and