13-342MR ASIC provides relief from new super disclosure requirements
Monday 16 December 2013
ASIC has issued a class order and taken a no-action position to assist the industry with the introduction of recent superannuation reforms. This aligns with our facilitative compliance approach and ensures trustees have adequate time to comply with the reform timetable.
changed the start date for compliance with new fees and costs disclosure arrangements by class order from 31 December 2013 to 1 July 2014
provided conditional interim relief by class order so that RSE licensees do not have to provide a hard copy of the product dashboard with the periodic statement, and
provided a no-action position for RSE licensees so that information about accrued default amounts does not need to be included in an exit statement.
ASIC has consulted with the Commonwealth Treasury ensuring that the approach taken is consistent with the Government's policy.
In particular, the interim relief in relation to product dashboards and periodic statements will allow more time to consider how product dashboards should be included with periodic statements in the longer term.
Although ASIC is taking a facilitative approach with regards the implementation of the superannuation reforms, ASIC reminds RSE licensees that they need to ensure consumers are well informed and not misled by any statements about fees and costs. To avoid consumer confusion, RSE licensee may need to alert consumers to the fact that fees and costs disclosure is changing.
ASIC has issued Class Order [CO 13/1534] Deferral of Stronger Super amendments in relation to PDS and periodic statement disclosure which provides for the following:
a change to the start date for compliance with new fees and costs disclosure arrangements: the class order extends the date of compliance from 31 December 2013 to 1 July 2014 for Product Disclosure Statements given on or after that date, and reporting periods on or after 1 July 2014 for periodic statements and aligns it with the commencement date for managed investment products, and
interim relief so that RSE licensees do not have to provide a hard copy of the product dashboard with the periodic statement: the class order provides interim relief from compliance with subregulation 7.9.20(1)(o), if a trustee includes in the periodic statement, or accompanies the periodic statement with, a website address for the latest product dashboard for the investment option. This also applies to periodic statements provided to members who are exiting the fund.
Further, consistent with ASIC Regulatory Guide 108 No- action letters, ASIC has also decided to take a 'no-action' position in respect of any contravention by a trustee of regulation 9.46A of the Superannuation Industry (Supervision) Regulations 1994 to the extent that a trustee does not give a notice that discloses the specified accrued default amount information in respect of a former member’s interest with an exit statement.