Document ID: chunk:federal_register_of_legislation:F2021C00160:body:0:p30
Version: federal_register_of_legislation:F2021C00160
Segment Type: other
Provision Reference: 
Character Range: 81679–84769

over a 1-year period for all superannuation products and investment options. It is calculated in the manner shown in the Example of annual fees and costs.

                The cost of product information assumes a balance of $50,000 at the beginning of the year. (Additional fees such as a buy-sell spread may apply: refer to the Fees and costs summary for the relevant superannuation product or investment option.)

                You should use this figure to help compare superannuation products and investment options.

                (c) must be set out as using the following form:

 [insert name of superannuation product or investment option]     Cost of product
                                                                  $[  ]

            and

                (d) must be calculated in accordance with the method set out in the Example of Annual Fees and Costs in clause 211 and Division 6.

            (2) Cost of product information is not required in a Product Disclosure Statement for a defined benefit fund.

                Note: Defined benefit fund is defined in subregulation 1.03(1) of the SIS Regulations.

            (3) Cost of product information is not required in a Product Disclosure Statement where the Statement relates to only one product or option and an Example of Annual Fees and Costs has been included in relation to that product or option in accordance with Division 5.

    220B Collective investment products

            (1) Cost of product information for each investment option offered by the managed investment scheme:

                (a) must be included in the "Fees and other costs" section of the Product Disclosure Statement, following the Example of Annual Fees and Costs;

                (b) must include the following heading and text immediately before the presentation of the first cost of product information:

                Cost of product for 1 year

                The cost of product gives a summary calculation about how ongoing annual fees and costs can affect your investment over a 1-year period for all investment options. It is calculated in the manner shown in the Example of annual fees and costs.

                The cost of product assumes a balance of $50,000 at the beginning of the year with a contribution of $5,000 during the year. (Additional fees such as an establishment fee or an exit fee may apply: refer to the Fees and costs summary for the relevant option.)

                You should use this figure to help compare this product with other products offered by managed investment schemes.

                (c) must be set out as using the following form;

[insert name of investment option]      Cost of product
                                                $[  ]

            and

                (d) must be calculated in accordance with the method set out in the Example of Annual Fees and Costs in clause 212 and Division 6.

            (2) Cost of product information is not required in a Product Disclosure Statement where the Statement relates to only one investment option and an