Document ID: chunk:federal_register_of_legislation:F2024C01107:body:0:p6
Version: federal_register_of_legislation:F2024C01107
Segment Type: other
Provision Reference: 
Character Range: 16232–19130

body corporate or partnership whose ordinary business is to buy and sell Financial Instruments and which is regulated by a Recognised Regulator specified in Table A5.3.1;

(c)        a Fund Manager and an underlying client that has placed money with, or has securities under the control of, the Fund Manager, where:

(i)         the Market Participant has a dealing relationship with the Fund Manager but not the underlying client; and

(ii)       the Fund Manager is placing orders on behalf of the underlying client and not as principal,

provided that the Market Participant maintains adequate documentation in support of paragraphs (a), (b) or (c).

Approved Subordinated Debt means an amount owing by a Market Participant under a subordination arrangement which is approved by ASIC under Rule S1A.2.4.

Approved Subordinated Loan Deed means, in respect of a subordination arrangement, a deed which:

(a)        is executed:

(i)         by the lender and ASIC under seal or by such equivalent method expressly recognised under the Corporations Act;

(ii)       in the case of a Market Participant which is a company, by the Market Participant under seal or by such equivalent method expressly recognised under the Corporations Act; and

(iii)     in the case of a Market Participant which is a partnership, by each of its partners;
(b)       sets out details of the terms governing any subordinated debt regulated by the subordination arrangement or identifies the document which does so;
(c)        contains those provisions required by ASIC including, without limitation, provisions to the effect that:
(i)         alterations to the subordinated loan deed or the terms or details of any subordinated debt regulated by the subordination arrangement cannot be made unless the agreement of all parties is obtained and the variation is executed in the manner required under paragraph (a);
(ii)       ASIC must be satisfied that the Market Participant has made adequate arrangements to ensure that Schedule 1A will be complied with and will continue to be complied with upon the maturity date of any loan for a fixed term;
(iii)     ASIC must be given full particulars of any debt to be regulated by the subordination arrangement under the subordinated loan deed prior to such debt being created; and
(iv)      prior to the Bankruptcy of the Market Participant, repayment of any subordinated debt regulated by the subordination arrangement can only occur in accordance with subrules S1A.2.4(6) and (7); and
(d)       contains specific acknowledgment by the lender of the matters set out in paragraphs S1A.2.4(2)(a) and (b).
AQUA Product means a financial product which is:
 1.         a financial product issued by or provided pursuant to a Managed Fund;
 2.        an ETF Security; or
 3.         a Structured Product,
which is admitted to Trading Status as an AQUA Product or to the AQUA Quote