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ASIC Class Order [CO 10/288]

Authoritative Version
CO 10/288 Orders/ASIC Class Orders as amended, taking into account amendments up to ASIC Corporations (Amendment) Instrument 2018/3
Administered by: Treasury
Registered 20 Aug 2018
Start Date 31 May 2018
Date of repeal 28 Sep 2018
Repealed by ASIC Corporations (Repeal) Instrument 2018/746

ASIC Class Order [CO 10/288]

About this compilation

 

Compilation No. 1

 

This is a compilation of ASIC Class Order [CO 10/288] as in force on 31 May 2018. It includes any commenced amendment affecting the legislative instrument to that date.

 

This compilation was prepared by the Australian Securities and Investments Commission.

 

The notes at the end of this compilation (the endnotes) include information

about amending instruments and the amendment history of each amended provision.

 

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 10/288].

 

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, s 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 1020AB(3) of the Act to the extent it requires the person to give the particulars specified in paragraphs 7.9.100(1)(a) to (c) of the Corporations Regulations 2001 in relation to:

 

Market makers

 

(a)        a sale by the person of a security (the shorted product) or a managed investment product (the shorted product) where:

 

(i)   the person:

 

(A)       makes a market for a financial product (the hedged product); and

 

(B)       issues, acquires or disposes of the hedged product in the course of making that market; and

 

(C)       holds an Australian financial services licence that covers making a market in the hedged product or is exempt from the requirement to hold such a licence for providing that financial service; and

 

(ii)        the sale of the shorted product by the person is a bona fide transaction to manage, avoid or limit the financial consequences of the person issuing, acquiring or disposing of the hedged product in the course of making a market in the hedged product; or

 

ETF market makers

 

(b)        a sale by an ETF market maker of interests in, or securities of, an exchange traded fund in the course of making a market in those interests or securities.

 

Interpretation

 

5.     In this instrument:

 

ASX means ASX Limited.

 

Chi-X means Chi-X Australia Pty Limited.

ETF market maker, in relation to interests in, or securities of, an exchange traded fund that is able to be traded on a financial market operated by ASX or Chi-X, means a person who:

(a)    holds an Australian financial services licence that covers making a market in the interests or securities or is exempt from the requirement to hold such a licence for providing that financial service;

(b)    has entered into an agreement, or is registered, with the relevant market operator to make a market for those interests or securities.

exchange traded fund (or ETF) means a scheme or foreign company that satisfies all of the following:

(a)     is:

(i)      a registered scheme or a managed investment scheme that is not required to be registered under Chapter 5C of the Act; or

(ii)     a foreign company which has the economic features of a managed investment scheme and is an open-ended investment company registered with the U.S. Securities and Exchange Commission under the Investment Company Act 1940 of the United States of America;

(b)     interests in the scheme or securities of the foreign company are in a class that are able to be traded on a financial market operated by ASX or Chi-X;

(c)     the operator of the scheme or foreign company has the power and approval to issue interests or securities in that class on any day that those interests or securities are able to be traded on the relevant financial market;

(d)     the operator of the scheme or foreign company allows applications for and redemptions of interests or securities in that class on any day that those interests or securities are able to be traded on the relevant financial market;

(e)     the price or value of the financial product, index, currency, commodity or other thing that the fund invests in or tracks is continuously disclosed or can be immediately ascertained.


makes a market
has the meaning given by section 766D of the Act.

 

 

Notes to ASIC Class Order [CO 10/288]

Note 1

ASIC Class Order [CO 10/288] (in force under s1020F(1)(a) of the Corporations Act 2001) as shown in this compilation comprises that Class Order amended as indicated in the tables below.

Table of Instruments

Instrument number

Date of registration

Date of commencement

Application, saving or transitional provisions

[CO 10/288]

29/4/2010 (see F2010L01075)

29/4/2010

 

2018/3

30/5/2018 (see F2018L00671)

31/5/2018

-

Table of Amendments

ad. = added or inserted     am. = amended      rep. = repealed     rs. = repealed and substituted

Provision affected

How affected

Para 4(b).....................

rs. 2018/3

Para 5..........................

am. 2018/3