Document ID: chunk:federal_register_of_legislation:F2023C00839:body:0:p6
Version: federal_register_of_legislation:F2023C00839
Segment Type: other
Provision Reference: 
Character Range: 12722–15560

in interests in managed investment schemes and contains conditions to the effect that, where the licensee is an associate of the responsible entity of a registered scheme:
(i) the licensee must not exercise voting rights in respect of any interests in the scheme that it acquires as an underwriter or sub-underwriter; and
(ii) the licensee may only dispose of interests in the scheme that it acquires as an underwriter or sub-underwriter:
(A) in the ordinary course of trading on the financial market operated by ASX Limited or an approved foreign market; or
(B) to a person who is not an associate of the responsible entity; or
(C) to a person who is an associate of the responsible entity that acquires the interests in an eligible fiduciary capacity.

           Placements to associates of the responsible entity

(13)  For the purposes of subsection (2), the responsible entity may issue interests to a person who is its associate where:
(a) before the interests are issued, the associate holds interests in the scheme in an eligible fiduciary capacity; and
(b) the associate acquires the interests in the eligible fiduciary capacity; and
(c) the proportion of the interests that are issued to the associate does not exceed the proportion of interests in the scheme that the associate held immediately before the issue occurred.
(14)  For the purposes of subsections (12) and (13), a person holds or acquires interests in an eligible fiduciary capacity if the interests are held or acquired by the person as:
(a) a trustee or custodian for a professional investor who is not the responsible entity or an associate of the responsible entity; or
(b) a responsible entity of another registered scheme; or
(c) a life insurance company, or an agent of a life insurance company, in the investment, administration and management of the assets of a statutory fund under the Life Insurance Act 1995; or
(d) an approved trustee of a regulated superannuation fund under the Superannuation Industry (Supervision) Act 1993.
(15) For the purposes of this section:
              approved foreign market has the meaning given by section 9.
                  Note: The definition of approved foreign market is notionally inserted by ASIC Corporations (Definition of Approved Foreign Market) Instrument 2017/669.
              foreign member means a member of a registered scheme who has a registered address outside of this jurisdiction.
              offer includes, in relation to an issue of interests, inviting an application for the issue of interests.
              placement resolution means, in relation to the approval of an issue of interests, a special resolution where:
(a) votes are only cast in respect of interests (the eligible interests):
(i) that are held by a member who will not acquire any of the interests that are to be issued;