10 January 2018

Encouraging innovation and trade in funds management in our region

On 15 January, the Minister for Revenue and Financial Services, the Hon Kelly O'Dwyer MP will attend the Asian Financial Forum in Hong Kong. The Forum is an opportunity to discuss innovation in financial markets and Australia's role in encouraging economic growth in the Asia region.

The visit to Hong Kong will kick start a year of major developments in Australia's funds management landscape, with the launch of the Asia Region Funds Passport and the introduction of the new Corporate Collective Investment Vehicle regime (CCIV).

The Passport will facilitate cross-border trade in funds management between member economies. It is designed to remove unnecessary regulatory overlap and to increase cooperation between regulators, to create a more efficient oversight framework of funds management in the region.

"Streamlining regulation across the region makes it cheaper and easier to share products and expertise. It will give Australian businesses access to new and growing markets in Asia and Australian consumers greater choice of investment products," Minister O'Dwyer said.

The CCIV will allow Australian fund managers to offer collective investment vehicles that are familiar and well understood by overseas investors, and which will be more attractive for funds designed to be exported through the Passport.

On 5 January 2018 the Asia Region Funds Passport Joint Committee called for expressions of interest to participate in a Pilot Program for the Passport.

The Pilot Program will test the Passport framework and regulator processes across participating economies to identify any remaining barriers to trade or areas for future improvement. It is an exciting opportunity for industry to get involved from the outset of the Passport, and to work with regulators to develop compelling products that will be suitable for export through the Passport framework.

"I will represent the Turnbull Government in Hong Kong at the Asian Financial Forum and will meet with representatives of the local managed funds industry to discuss the Passport and other opportunities for innovation and growth in the region," Minister O'Dwyer said.

The call for expressions of interest in the Pilot Program can be found on the website.