ASIC makes instrument to increase net tangible assets requirement for responsible entities

ASIC has made a legislative instrument that will increase the net tangible assets (NTA) requirement for responsible entities of registered managed investment schemes from 1 July 2027.

ASIC Corporations (Amendment) Instrument 2026/708 implements the policy ASIC announced in July 2026. It amends ASIC Corporations (Financial Requirements for Responsible Entities, IDPS Operators and Corporate Directors of Retail CCIVs) Instrument 2023/647 (ASIC Instrument 2023/647).

The minimum financial thresholds in the NTA requirement will increase to reflect inflation since they were last updated in 2013 and will be adjusted each year to keep pace with inflation.

The changes will apply to:

  • responsible entities of registered managed investment schemes
  • operators of investor directed portfolio services (IDPS)
  • corporate directors of retail corporate collective investment vehicles (CCIVs).

ASIC has also updated Regulatory Guide 166 AFS licensing: Financial requirements (RG 166) to reflect the upcoming changes.

From 2027, ASIC will publish the updated thresholds on its website each year after the relevant inflation data becomes available.

Background

Responsible entities of registered managed investment schemes must meet the financial requirements, including the NTA requirement, under ASIC Instrument 2023/647. Similar requirements apply to IDPS operators and corporate directors of retail CCIVs (see RG 166).

More information

For more information, see:

 

ASIC is Australia’s corporate, markets and financial services regulator.