ASIC is seeking industry feedback to help clarify key fee and cost disclosure requirements for superannuation and managed investment products.

In particular, ASIC is seeking feedback and comments on proposed changes that aim to clarify the requirements for:

• indirect costs, double counting and fee issues for superannuation products
• the disclosure of costs associated with investing through interposing entities by managed investment products, and
• the appropriate application of the consumer advisory warning for some products.

ASIC highlighted this work in Report 398 Fee and cost disclosure: Superannuation and managed investment products (REP 398) issued in July 2014 (refer: 14-158MR).

REP 398 outlined ASIC's work in this space, which will also include a review of Regulatory Guide 97 Disclosing fees and costs in PDSs and periodic statements (RG 97) to reflect the effect of the Stronger Super reforms and any other legislative changes.

Commissioner Greg Tanzer said, 'Consistent and accurate fee and cost disclosure is important for ensuring consumers are well informed and confident in making investment decisions.

'ASIC is responding to industry concerns to clarify some of the key fee and cost issues that will help improve the quality and consistency of disclosure'.

A draft Class Order has been provided to a number of industry associations and other industry participants for consideration and we welcome industry feedback on our proposed amendments. Those interested in providing feedback to ASIC as part of this process can request a copy of the draft Class Order by emailing feeandcostdisclosure@asic.gov.au.

Feedback and comments on the proposed technical amendments are due by 17 October 2014.