Corporations Amendment Regulations 2003 (No. 11) (369 of 2003)

Schedule 1   Amendments commencing on gazettal

[17]   Part 10.2, after Division 50

insert

Division 51 Further market-related advice

10.2.214 Statement of Advice for further market-related advice

(1) For section 1444 of the Act, this regulation applies in relation to a providing entity if:

(a) the providing entity gives a client further market-related advice as described in subsection 946B (1) of the Act; and

(b) the client had a relationship with the providing entity at the latest of the following times:

(i) if the providing entity is a licensee - when the providing entity obtained its Australian Financial Services Licence;

(ii) if the providing entity is an authorised representative - when the licensee on whose behalf the advice is provided obtained its Australian Financial Services Licence;

(iii) the commencement of item 46A of Schedule 2 to the Financial Services Reform Amendment Act 2003; and

(c) the providing entity made 1 or more securities recommendations to the client under section 851 of the old Corporations Act:

(i) on or after the FSR commencement; and

(ii) before the time identified under paragraph (b); and

(d) the client's relevant personal circumstances in relation to the further market-related advice are not significantly different from the client's investment objectives, financial situation and particular needs that were determined for the last of the securities recommendations mentioned in paragraph (c); and

(e) so far as the basis on which advice is given relates to other matters - the basis on which the further market-related advice is given is not significantly different from the basis on which the last of the securities recommendations mentioned in paragraph (c) was made.

(2) Subsection 946B (1) applies to the providing entity as if paragraph 946B (1) (b) and subparagraphs 946B (1) (d) (i) and (ii) were omitted.