Document ID: chunk:federal_register_of_legislation:F2018L01253:body:0:p4
Version: federal_register_of_legislation:F2018L01253
Segment Type: other
Provision Reference: 
Character Range: 7855–10974

that the investor is a professional investor;

       (c)          where the registered entity believes, on reasonable grounds, that the investment product is provided for use in connection with a business that is not a small business;

       (d)          where the registered entity believes, on reasonable grounds, that the investment product is issued or sold to an investor who already holds an investment product of the same kind;

       (e)          where the investment product is issued or sold by an exempt public authority;

       (f)           where the investment product is not issued or sold in the course of carrying on a business of issuing or selling investment products;

       (g)          if the investment product is not an option – where no consideration is provided for the issue or sale of the investment product;

       (h)          if the investment product is an option – where:

           (i)            no consideration is provided for the option; and

           (ii)         no consideration is provided for the underlying rights or interests on the exercise of the option;

       (i)            where the registered entity believes, on reasonable grounds, that the following conditions are satisfied:

           (i)            the investor has previously been given a paper document or   electronic communication before 1 January 2016, containing a statement that:

              (A)        the registered entity is not authorised under the Banking Act and is not supervised by APRA; and

              (B)        an investment in a particular kind of investment product, or in all investment products, issued or sold by the registered entity will not be covered by the depositor protection provisions in section 13A of the Banking Act; or

         (ii)     the investor has previously been given a paper document or
          electronic communication on or after 1 January 2016, containing a statement that:

             (A)     the registered entity is not authorised under the Banking Act                  and is not supervised by APRA;

              (B)        an investment in a particular kind of investment product, or in all investment products, issued or sold by the registered entity will not be covered by the depositor protection provisions in section 13A of the Banking Act; and

              (C)        an investment in a particular kind of investment product, or in all investment products, issued or sold by the registered entity will not be covered by the financial claims scheme established under Division 2AA of the Banking Act;

           (iii)       the statement was displayed clearly and prominently so as to make it reasonably likely to be read by the investor;

           (iv)        since being given the statement the investor has not received any information from the registered entity or a representative of the registered entity suggesting that the warning is no longer operative; and

           (v)          the investment product meets the description of the investment  products that, according to the statement, will not be covered by the