Document ID: chunk:federal_register_of_legislation:F2023C00839:body:0:p9
Version: federal_register_of_legislation:F2023C00839
Segment Type: other
Provision Reference: 
Character Range: 20134–22874

(i) a description of the formula or method that the responsible entity may apply in working out the  amount of the consideration to acquire interests in the scheme including each discretion covered by subsection (1) relevant to the formula or method; and
(ii) the circumstances in which the responsible entity may exercise each discretion; and
(iii) what policy (the documented policy) (if any) the responsible entity has set dealing with how they propose to exercise each discretion and the date on which the policy was set; and
(iv) what records the responsible entity will keep about the exercise of each discretion; and
Note: If a particular policy applies in relation to more than one discretion set out in the constitution, it is sufficient for the policy to be documented once provided that each of the discretions to which it relates is specified. For instance, a policy relating to the rounding of the result of a calculation may be expressed to apply in relation to separate provisions in the constitution specifying a formula for performing calculations.
(b) if the discretion is to be exercised by a nominee—state that the discretion will be so exercised and identify the nominee; and
(c) in relation to each discretion for which a documented policy has been set—explain why it is reasonable to exercise the discretion in accordance with the policy; and
(d) without limiting paragraph (c), if the exercise of the discretion in accordance with the documented policy would not be consistent with scheme property being valued, or the market price of interests being worked out, in accordance with ordinary commercial practice (see subsection (6))—explain why it is impracticable to do so.
(8) When the responsible entity exercises a discretion:
(a) in relation to which there is no documented policy that is current at the time of exercise; or
(b) in a way that involves a departure from the documented policy relating to the discretion that is current at the time of exercise,

              they must prepare a document which sets out all of the following:

(c) the date on which the discretion is exercised;
(d) if the discretion is exercised by a nominee—a statement to that effect which identifies the nominee;
(e) how the discretion is exercised;
(f) an explanation why it was reasonable to exercise the discretion the way it was exercised;
(g) without limiting paragraph (f), if they do not exercise the discretion in a way which is consistent with scheme property being valued, or the market price of interests being worked out, in accordance with ordinary commercial practice (see subsection (6))—an explanation why it is impracticable to do so.
(9) The responsible entity must ensure that the records which it keeps under