Document ID: chunk:federal_register_of_legislation:F2025C00069:reg:26:p3
Version: federal_register_of_legislation:F2025C00069
Segment Type: reg
Provision Reference: reg 26 (pt 3/7)
Character Range: 622084–624777

of paragraph 60J(3)(a) of the Act:
 (a) this paragraph specifies the formula set out in regulation 9AB.23 (net return ranking formula) as a basis for ranking Part 6A products in relation to the financial year; and
 (b) this paragraph specifies the formula set out in regulation 9AB.24 (fee ranking formula) as a basis for ranking Part 6A products in relation to:
 (i) a beneficiary who holds the Part 6A product; and
 (ii) a year (the relevant year) that is the financial year, or the year that is the period of 12 months ending on 30 September, 31 December or 31 March in the next financial year.

9AB.23  Net return ranking formula
  For the purposes of paragraphs 9AB.21(2)(a) and 9AB.22(2)(a), the formula is:
where:
n means the number of whole quarters in the test period, divided by 4.
NR, in relation to a quarter, means the Part 6A product's net return in relation to the quarter.
t represents a quarter in a consecutive sequence of quarters, where if t=1, the quarter is the first quarter that starts in the test period.
test period mean the period that:
 (a) starts at a time that:
 (i) is no earlier than 10 years before the start of the financial year; and
 (ii) is the start of a quarter in an earlier financial year; and
 (b) ends at the end of a quarter in the financial year.

9AB.24  Fee ranking formula
 (1) For the purposes of paragraphs 9AB.21(2)(b) and 9AB.22(2)(b), the formula is:
where:
applicable administration fee has the meaning given by subregulation (2).
applicable cost amount means:
 (a) where it is possible to identify the Part 6A product's applicable transaction costs in relation to the relevant year from information available to APRA—means the applicable transaction costs; or
 (b) otherwise—means the applicable indirect cost ratio.
applicable indirect cost ratio means the product of the following:
 (a) the relevant beneficiary's account balance in respect of the Part 6A product;
 (b) the Part 6A product's indirect cost ratio in relation to the relevant year.
applicable investment fee has the meaning given by subregulation (3).
applicable transaction costs has the meaning given by subregulation (4).
 (2) For the purposes of subregulation (1), work out the applicable administration fee as follows:
 (a) first, work out the product of the following:
 (i) an account balance in respect of the Part 6A product;
 (ii) the Part 6A product's administration fee percentage in relation to the relevant year;
 (b) work out the sum of the following:
 (i) the result of paragraph (a);
 (ii) the Part 6A product's administration fee flat amount in relation to the relevant year;
 (c) if the Part 6A product does not have an administration fee cap in relation