Federal Register of Legislation - Australian Government

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ASIC Class Order [CO 10/111]

Authoritative Version
CO 10/111 Orders/ASIC Class Orders as made
This Class Order exempts a person from having to comply with subsection 1020B(2) of the Corporations Act 2001 in relation to a deferred purchase agreement.
Administered by: Treasury
Made 15 Feb 2010
Registered 18 Feb 2010
Tabled HR 23 Feb 2010
Tabled Senate 24 Feb 2010
Date of repeal 28 Sep 2018
Repealed by ASIC Corporations (Repeal) Instrument 2018/746

Australian Securities and Investments Commission

Corporations Act 2001 — Paragraph 1020F(1)(a) — Exemption

 

 

Enabling Legislation

 

1.       The Australian Securities and Investments Commission makes this instrument under paragraph 1020F(1)(a) of the Corporations Act 2001 (the Act).

 

Title

 

2.       This instrument is ASIC Class Order [CO 10/111].

 

Commencement

 

3.       This instrument commences on the date it is registered under the Legislative Instruments Act 2003.

 

Note:   An instrument is registered when it is recorded on the Federal Register of Legislative Instruments (FRLI) in electronic form: see Legislative Instruments Act 2003, section 4 (definition of register). The FRLI may be accessed at http://www.frli.gov.au/.

 

Exemption

 

4.       A person does not have to comply with subsection 1020B(2) of the Act in relation to a sale of a security (delivery product) or managed investment product (delivery product) that is able to be traded on the financial market operated by ASX where the transaction effecting the sale of the delivery product is the entering into of an agreement under which:

 

(a)     a person agrees to deliver, at least 12 months after entering into the agreement, delivery products at a specified time (maturity) in the future to another person; and

 

(b)     the number and value of the delivery products to be delivered at maturity is ultimately determined or derived from the value or amount of one or more of the following:

 

(i)      other financial products (other than a derivative that relates to the delivery products);

 

(ii)     an asset;

 

(iii)     a rate (including an interest rate or exchange rate);

 

(iv)    an index;

 

(v)     a commodity; and

 

(c)     the person who agrees to deliver the delivery products at maturity has the right, in circumstances set out in the agreement, to instead deliver other securities or managed investment products where the securities or products are, at maturity, in a class of financial products that is a constituent of the index known as the S&P/ASX 200.

 

Note:    This index is compiled and calculated by Standard and Poor’s, a division of The McGraw-Hill Companies, Inc. Its constituents are subject to change from time to time. Details of the current constituents may be found via http://www.standardandpoors.com.au/.

 

Interpretation

 

5.       In this instrument:

 

          able to be traded includes (in addition to the meaning given by section 761A of the Act), in relation to a financial product and a market, traded on the market under terms by which the product must be transferred together with one or more other financial products.  

 

ASX means ASX Limited. 

 

 

 

 

Dated this 15th day of February 2010

 

 

 

 

Signed by Stephen Yen PSM

as a delegate of the Australian Securities and Investments Commission