Document ID: chunk:federal_register_of_legislation:F2024C01249:reg:1:p34
Version: federal_register_of_legislation:F2024C01249
Segment Type: reg
Provision Reference: reg 1 (pt 34/148)
Character Range: 413527–416448

intermediary relating to their platforms—general CSF risk warning
 (1) For the purposes of subsection 738ZA(2) of the Act, this regulation specifies the terms of a general CSF risk warning.
 (2) Those terms are as follows:
  "Crowd‑sourced funding is risky. Issuers using this facility include new or rapidly growing ventures. Investment in these types of ventures is speculative and carries high risks.
  You may lose your entire investment, and you should be in a position to bear this risk without undue hardship.
  Even if the company is successful, the value of your investment and any return on the investment could be reduced if the company issues more shares.
  Your investment is unlikely to be liquid. This means you are unlikely to be able to sell your shares quickly or at all if you need the money or decide that this investment is not right for you.
  Even though you have remedies for misleading statements in the offer document or misconduct by the company, you may have difficulty recovering your money.
  There are rules for handling your money. However, if your money is handled inappropriately or the person operating this platform becomes insolvent, you may have difficulty recovering your money.
  Ask questions, read all information given carefully, and seek independent financial advice before committing yourself to any investment.".

Part 6D.5—Fundraising—miscellaneous

6D.5.01  Warrants that are securities
  For paragraph 742(1)(b) of the Act, a warrant that is a security is exempted from all provisions of Chapter 6D of the Act.

6D.5.02  Modification of paragraph 708(8)(c) of the Act: renewal period for accountants' certificates
  For paragraph 742(1)(c) of the Act, section 708 of the Act applies as if paragraph 708(8)(c) of the Act were modified by omitting "6 months" and substituting "2 years".

6D.5.03  Modification of section 738X of the Act: requirement to notify right to withdraw application only applies if defect is materially adverse
  For the purposes of paragraph 742(1)(c) of the Act, Chapter 6D of the Act applies as if section 738X of the Act were modified so that subsection 738X(7) of the Act only applies if the defect in the CSF offer document referred to in paragraph 738X(5)(a) of the Act is materially adverse from the point of view of an investor.

Corporations Regulations 2001

Statutory Rules No. 193, 2001
made under the

Corporations Act 2001

Compilation No. 201

Compilation date: 10 December 2024

                Includes amendments: F2024L01610

This compilation is in 7 volumes

Volume 1: regulations 1.0.01–6D.5.03
Volume 2: regulations 7.1.04–7.6.08E
Volume 3: regulations 7.7.01–8B.5.20
Volume 4: regulations 9.1.01–12.9.03
Volume 5: Schedules 1, 2 and 2A
Volume 6: Schedules 3–13
Volume 7: Endnotes

Each volume has its own contents

About this compilation

This compilation

This is a compilation of the Corporations Regulations