Document ID: chunk:federal_register_of_legislation:F2024C00757:front:0:p10
Version: federal_register_of_legislation:F2024C00757
Segment Type: other
Provision Reference: 
Character Range: 24539–27460

interest in the IDPS property (whether directly or indirectly);
                  Note:   This requirement could be satisfied by a custodian holding IDPS property on trust for the licensee and the licensee holding the beneficial interest in that property on trust for the relevant client or clients of the IDPS.
              unless the IDPS property is held under Division 2 or 4 of Part 7.8 or either of the following apply:
                  (c) both of the following apply:
                     (i) the IDPS property is located in a place outside of this jurisdiction where trusts are not known to the law;
                     (ii) it is reasonable for the IDPS property to be held in accordance with the law in that place; or
                  (d) both of the following apply:
                     (i) the IDPS property is located in a place outside of this jurisdiction and it is not reasonable for the property to be held on trust in accordance with the law in that place;
                     (ii) the licensee has documented in writing that:
(A) it is satisfied that the property is 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; and
(B) the basis on which the licensee is satisfied.
           Passing on communications from underlying issuers
              (23) The licensee must give to a client on request a copy of all communications that are required by law to be given to the holder of an accessible investment (including communications that are required to be given on request) where that accessible investment is required to be held on trust for the client by the licensee or a custodian acting on its behalf.
              (24) A client may make a request under subsection (23) in relation to a particular communication or make a standing request in relation to a class of communications. The licensee must provide the information as soon as practicable after the information is received or otherwise becomes available to be provided to the client.
           Acquisition of accessible investments that are interests in unregistered scheme
              (25) The licensee must not, and must ensure that any custodian acting on its behalf does not, acquire accessible investments for a client as part of the IDPS that are:
                  (a) interests in a managed investment scheme that is not a registered scheme; or
                  (b) interests in a scheme that would be a managed investment scheme but for paragraph (e) of the definition of managed investment scheme in section 9;
              unless the licensee reasonably believes that:
                  (c) had the client invested directly in the scheme, the scheme would not have been required to have been registered; and
                  (d) had all interests in the scheme held in custodial arrangements been held by the