ASIC is seeking industry feedback on proposals to remake relief contained in seven legislative instruments relating to specific financial services disclosure requirements through a consultation paper released today.

Most of the instruments will automatically repeal or cease in the next two years if not remade.

Consultation Paper 358 Remaking ASIC relief on PDSs, superannuation dashboards and FSGs (CP 358) outlines ASIC’s proposal to consolidate the seven instruments into three new instruments without substantive changes.

CP 358 outlines ASIC’s proposals to:

• remake, in a single new instrument, relief in instruments that relate to Product Disclosure Statement (PDS) in-use notices for employer-sponsored superannuation and product dashboard disclosure - [CO 12/415], [CO 13/1534] and [CO 14/443]); 
• remake, in a single new instrument, relief in instruments that relate to shorter PDSs and PDS obligations for superannuation trustees, IDPS operators and responsible entities of IDPS-like schemes – [CO 12/749], [CO 13/797] and ASIC Corporations (Superannuation: Investment Strategies) Instrument 2016/65;
• remake, as a new instrument, an instrument that relates to Financial Services Guides in time critical situations – [CO 12/417]; and
• give effect to the new instruments for a period until 1 October 2027.

ASIC has reached the preliminary view that the existing instruments are generally operating effectively and continue to form a necessary and useful part of the legislative framework. However, in remaking the instruments, ASIC proposes to omit relief that has become redundant and update some conditions of the relief.

The proposed changes are designed to assist industry in complying with disclosure obligations by providing regulatory certainty.  

ASIC is inviting feedback on CP 358 from financial services licensees, superannuation trustees, platform operators, responsible entities, consumer groups and other interested stakeholders.

Submissions to CP 358 are due by 12 April 2022.

Background

Under the Legislation Act 2003, legislative instruments are repealed automatically, or 'sunset' after a period of time unless action is taken to remake them. Some legislative instruments also contain relief that has an expiry or cessation date. Where a sunsetting instrument or instrument with expiring relief continues to serve a regulatory purpose, ASIC will consult on remaking it even if there are minimal changes.

Although instruments relating to superannuation only are within a class of instrument not subject to ‘sunsetting’, ASIC chooses to remake these instruments to ensure that they are kept up to date and only remain in force while they are relevant and fit for purpose.