Minister for Financial Services, Superannuation and Corporate Law
9 June 2009 - 14 September 2010
Joint Media Release
The Hon Lindsay Tanner MP
Minister for Finance and Deregulation
Simpler Disclosure for Superannuation and Managed Investment Products
The Rudd Government has today delivered on its commitment to address the problem of lengthy, complex and largely unreadable product disclosure documents for major financial services products.
Draft regulations and example Product Disclosure Statements for superannuation and managed investments products have been released today for public consultation. These reforms complement those released previously for margin lending products and First Home Saver Accounts, and represent another milestone in the Government's better regulation agenda.
The disclosure information for these key products are now presented in six pages only, compared with the unwieldy disclosure documents that were often hundreds of pages issued previously.
These example Product Disclosure Statements will be supported by more detailed or frequently updated information to be provided online.
These reforms are another example of the Better Regulation Ministerial Partnerships that are currently being implemented across government as part of the Rudd Government's commitment to using better regulation to drive productivity and reduce costs to business and the not for profit sector.
Lindsay Tanner, Minister for Finance and Deregulation said: "Better Regulation Ministerial Partnerships have proved effective in ensuring a disciplined and coordinated approach to delivering regulatory reform across government.
"These latest reforms represent a further major milestone in the roll-out of the Government's deregulation agenda, offering benefits for consumers and business alike."
Chris Bowen, Minister for Financial Services, Superannuation and Corporate Law said: "The new disclosure requirements will improve consumer protection by ensuring that financial disclosure documents are short and straightforward. Information on key product features such as fees will be standardised across superannuation and most managed investment products, making it easier for consumers to shop around and compare products."
Lindsay Tanner said: "Allowing more detailed or frequently updated information to be provided online will offer real savings and flexibility to business without compromising investor protection."
"These initiatives are making an important contribution to the Government's deregulation agenda, under which we are pursuing micro-economic reforms today to deliver productivity gains into the future."
Minister Bowen said: "The Financial Services Working Group's Industry Advisory Panel provides valuable input into the development of the new disclosure regimes and I would like to thank them for their ongoing contribution."
The draft regulations, explanatory materials and example PDSs are available online, and can be accessed via the official websites of the Treasury and the Department of Finance and Deregulation.
Comments on the draft regulations are sought by 26 February 2010 and should be submitted via email to: firstname.lastname@example.org
21 December 2009