Document ID: chunk:federal_register_of_legislation:C2015C00151:clause:3_1017bd
Version: federal_register_of_legislation:C2015C00151
Segment Type: clause
Provision Reference: sch 3 cl 1017BD
Character Range: 54331–56181

1017BD  Obligations relating to investment of assets of registrable superannuation entities—giving notice to providers under custodial arrangements
 (1) This section applies if:
 (a) a person (the first party) enters into an arrangement (the core arrangement) with another person (the second party); and
 (b) under the terms of the core arrangement, the second party is the provider under a custodial arrangement under which the first party is a client; and
 (c) the first party knows, or reasonably ought to know that, under the custodial arrangement, a financial product may be acquired in this jurisdiction; and
 (d) the first party knows, or reasonably ought to know, that an asset that is the subject of the core arrangement is, or is derived from, an asset of a registrable superannuation entity; and
 (e) the core arrangement is not of a kind prescribed by the regulations as an arrangement to which this section does not apply.
 (2) The first party must, at the time the core arrangement is entered into, notify the second party of the following:
 (a) that an asset that is the subject of the core arrangement is, or is derived from, the assets of a registrable superannuation entity;
 (b) details of the trustee, or the trustees, of the registrable superannuation entity.
Note: Section 1017BC may apply in relation to an arrangement under which the second party, or an acquirer under the custodial arrangement, actually acquires the financial product.
 (3) In this section:
acquirer, in relation to a custodial arrangement, has the same meaning as in subsection 1012IA(1).
client, in relation to a custodial arrangement, has the same meaning as in subsection 1012IA(1).
custodial arrangement has the same meaning as in subsection 1012IA(1).
provider, in relation to a custodial arrangement, has the same meaning as in subsection 1012IA(1).