PART 2
-
INFORMATION FOR CERTAIN PARTIES
History
Part 2 heading substituted by SR No 21 of 2002, reg 3 and Sch 1 item 1, effective 11 March 2002. The heading formerly read:
PART 2
-
INFORMATION FOR MEMBERS AND OTHERS
Division 2.2
-
Information in connection with annual members
'
meetings
History
Div 2.2 inserted by FRLI No F2021L01076, reg 4 and Sch 1 item 4, applicable in relation to each year of income that ends on or after 6 August 2021.
Former Div 2.2 omitted by SR No 21 of 2002, reg 3 and Sch 1 item 16, effective 11 March 2002.
REGULATION 2.10
INFORMATION TO BE INCLUDED WITH NOTICE
2.10(1)
For the purposes of paragraph
29P(3)(b)
of the Act, the following information must be included with the notice of an annual members
'
meeting for a year of income of the entity that is given to a member of the entity:
(a)
a short-form summary containing the information set out in subregulation
(2)
, which must:
(i)
fit on a single page and be the only information on that page; and
(ii)
be the first page of the pages of information referred to in this regulation;
(b)
a copy of both of the following:
(i)
a summary of each significant event or material change notice (if any) given under section
1017B
of the
Corporations Act 2001
by a trustee of the entity to a member of the entity during the 2 year period finishing at the end of the year of income;
(ii)
the details of remuneration that, at the time the notice is given, are required under subregulation
7.9.07ZC(3)
or
(5)
of the
Corporations Regulations 2001
to be made publicly available on the entity
'
s website or are required under section
300C
of the
Corporations Act 2001
to be included in the director
'
s report for the entity;
(iii)
(Repealed by FRLI No F2023L00990)
(c)
if a determination made under paragraph
52(9)(a)
of the Act in relation to the entity is publicly available at the time the notice is given, or must be made publicly available before the meeting is held
-
a copy of the determination;
(d)
a copy of each of the following:
(i)
the most recent periodic statement (if any) given to the member under section
1017D
of the
Corporations Act 2001
;
(ii)
the most recent fund information provided under regulation
7.9.32
of the
Corporations Regulations 2001
to holders of interests in the entity;
(e)
for each contract (if any) under which one or more payments were made, by or on behalf of the entity during the year of income, where a purpose of each payment was promoting the entity, promoting a particular view on behalf of the entity or sponsorship on behalf of the entity:
(i)
the sum of all such payments that have been or are to be made under the contract during any year of income;
(ii)
the name of each entity to whom such payments have been or are to be made under the contract during any year of income and, for each such entity, the sum of all such payments that have been or are to be made to the entity under the contract during any year of income;
(iii)
the term of the contract;
(f)
if any gifts (within the meaning of Part XX of the
Commonwealth Electoral Act 1918
) were made, by or on behalf of the entity during the year of income, to another entity who, at the time of receiving the gift:
(i)
was a political entity (within the meaning of that Act); or
(ii)
was, or was required by that Part of that Act to be, a political campaigner (within the meaning of that Part); or
(iii)
was, or was required by that Part of that Act to be, an associated entity (within the meaning of that Part);
an itemised list showing each such gift and the name of the entity to whom each gift was made;
(g)
if any payments were made, by or on behalf of the entity during the year of income, to another entity who, at the time of receiving the payment, was an organisation (within the meaning of the
Fair Work (Registered Organisations) Act 2009
)
-
an itemised list showing each such payment and the name of the entity to whom each payment was made;
(h)
if any payments were made, by the entity (the
main entity
) during the year of income, to any of the following:
(i)
a connected entity of the RSE licensee of the main entity;
(ii)
an associated entity of another entity (the
third party
) if the third party is a connected entity of the RSE licensee of the main entity;
(iii)
an entity over whom the RSE licensee of the main entity has significant influence;
(iv)
an entity who has significant influence over the RSE licensee of the main entity;
(v)
an entity whose key management personnel include the RSE licensee, or an executive officer of the RSE licensee, of the main entity;
(vi)
an associated entity of another entity (the
third party
), if the RSE licensee, or an executive officer of the RSE licensee, of the main entity is a member of the key management personnel of the third party;
an itemised list showing each such payment and the name of the entity to whom each payment was made.
Note:
The determination mentioned in paragraph
(c)
is to be made publicly available on the entity
'
s website within 28 days after the determination is made (see paragraphs
52(9)(b)
and
(c)
of the Act).
History
Reg 2.10(1) amended by FRLI No F2023L00990, reg 4 and Sch 1 items 30
-
35, by substituting
"
both of the following
"
for
"
each of the following
"
in para (b), substituting para (b)(ii), repealing para (b)(iii), substituting para (d)(ii), repealing note 1 and substituting
"
Note
"
for
"
Note 2
"
in note 2, effective 8 July 2023. Para (b)(ii), (iii), (d)(ii) and note 1 formerly read:
(ii)
be the first page of the pages of information referred to in this regulation;
(ii)
the most recent information (if any) given to the member under paragraph 1017DA(1)(a) of the
Corporations Act 2001
;
Note 1:
Information mentioned in subparagraphs (b)(i), (ii) and (iii) must be made publicly available on the entity
'
s website (see subsection 29QB(1) of the Act and regulations 2.37 and 2.38).
2.10(2)
The short-form summary referred to in paragraph
(1)(a)
must set out the following:
(a)
the sum of the remuneration referred to in subparagraph
(1)(b)(ii)
, which is to be described as the aggregate remuneration expenditure relating to the entity for the year of income;
(b)
the sum of the payments referred to in paragraph
(1)(e)
that were made during the year of income (under all contracts referred to in that paragraph), which is to be described as the aggregate promotion, marketing or sponsorship expenditure relating to the entity for the year of income;
(c)
the sum of the payments referred to in paragraph
(1)(f)
, which is to be described as the aggregate political donations relating to the entity for the year of income;
(d)
the sum of the payments referred to in paragraph
(1)(g)
, which is to be described as the aggregate industrial body payments relating to the entity for the year of income;
(e)
the sum of the payments referred to in paragraph
(1)(h)
, which is to be described as the aggregate related party payments relating to the entity for the year of income.
2.10(3)
Despite subsection
(1)
, if any information (the extra information) referred to in paragraph
(1)(b)
to (h) required to be given to a member of the entity:
(a)
is accessible by the member (including by being publicly available) at the time the notice of the annual members
'
meeting is given; or
(b)
must be made so accessible before the meeting is held;
it is sufficient for the purposes of that paragraph if the information included with the notice includes details of how to access that extra information.
Note:
The short-form summary referred to in paragraph
(1)(a)
must still be included.
History
Reg 2.10 inserted by FRLI No F2021L01076, reg 4 and Sch 1 item 4, applicable in relation to each year of income that ends on or after 6 August 2021.
Former reg 2.10 omitted by SR No 21 of 2002, reg 3 and Sch 1 item 16, effective 11 March 2002. Reg 2.10 formerly read:
REGULATION 2.10 INFORMATION TO PROSPECTIVE MEMBERS
2.10(1)
The information that the trustee of a fund must be satisfied has been received by a person before the trustee issues a superannuation interest in the fund to the person is:
(a)
in the case of a fund other than a capital guaranteed fund
-
the information specified in subregulation (2) (the
basic information
) and the information specified in subregulation (3) (the
additional information
); or
(b)
in the case of a capital guaranteed fund:
(i)
the basic information and the additional information; or
(ii)
the information specified in subregulation (3A).
History
Reg 2.10(1) amended by SR No 239 of 1999 and SR No 117 of 1997.
2.10(2)
The basic information is all information that the trustee reasonably believes that a person would reasonably need for the purpose of:
(a)
understanding the main features of the relevant sub-plan or, if none, of the fund; and
(b)
making an informed judgment about the management and financial condition of the fund and of the relevant sub-plan (if any); and
(c)
making an informed judgment about the investment performance of the relevant sub-plan or, if none, of the fund.
History
Reg 2.10(2) amended by SR No 239 of 1999 and SR No 117 of 1997.
2.10(3)
The additional information comprises each of the following items of information:
(a)
the contact details of the fund;
(b)
the name of the trustee;
(c)
a summary of the main features of the relevant sub-plan or, if none, of the fund;
(d)
a statement of significant benefits (as defined in subregulation (6)) to which the person becomes, or may become, entitled on joining the fund;
(e)
the circumstances in which those benefits would be payable;
(f)
the method of working out those benefits;
(g)
details (in summary form) of arrangements that the fund has to deal with inquiries or complaints;
(h)
details of the existence and (in outline terms) the functions of the Superannuation Complaints Tribunal;
(i)
if Division 6 of Part 19 of the Act (cooling-off
-
redemption of interests) applies to the fund
-
a summary of any right of an applicant to have an interest that has been issued to him or her redeemed in accordance with a provision specified in that Division;
(j)
a copy, or an updated version, of the information required to be given under Subdivision 2.4.3, that was most recently given to members of the relevant sub-plan or, if none, of the fund;
(k)
in respect of the relevant sub-plan or, if none, of the fund
-
a statement (in outline terms) of:
(i)
how fees, charges, expenses and administrative or other operational costs are attributed (either directly or indirectly) to members (including details of the points at which, or occasions on which, they are levied or deducted); and
(ii)
where the fees, charges, expenses and administrative or other operational costs are predetermined fixed amounts or percentages
-
those amounts or percentages; and
(iii)
where subparagraph (ii) does not apply
-
a general statement as to the manner in which the fees, charges, expenses and administrative or other operational costs are determined;
(l)
if there are circumstances in which the trustee would pay the member's benefit to an eligible rollover fund:
(i)
details of those circumstances; and
(ii)
the contact details of the eligible rollover fund; and
(iii)
a statement of the effect of the payment of benefits to the eligible rollover fund;
(m)
in the case of a capital guaranteed fund that has chosen to comply with subregulation (2) and this subregulation
-
a statement:
(i)
that outlines the effect of the lower-risk/lower-return nature of the product on possible benefits in the long term; and
(ii)
that there are other superannuation arrangements that may provide a greater return over the long term; and
(iii)
that the person may wish to seek information about the rates of return of those superannuation arrangements; and
(iv)
that outlines the means by which the fund is to be maintained as a capital guaranteed fund and sets out the name of the institution providing the investments that back the fund.
History
Reg 2.10(3) amended by SR No 239 of 1999, SR No 117 of 1997 and SR No 159 of 1995.
2.10(3A)
The information referred to in subparagraph (1)(b)(ii) comprises each of the following items of information where applicable:
(a)
the contact details of the fund;
(b)
the name and ACN or ARBN of the trustee;
(c)
a statement:
(i)
that outlines the effect of the lower-risk/lower-return nature of the product on possible benefits in the long term; and
(ii)
that there are other superannuation arrangements that may provide a greater return over the long term; and
(iii)
that the person may wish to seek information about the rates of return of those superannuation arrangements;
(d)
if the governing rules of the fund meet the standards of subregulation 1.06(4)
-
a statement that:
(i)
the amount that the person can take out each year is subject to minimum and maximum limits set by the Government; and
(ii)
an allocated pension may not provide an income stream for the rest of the person's life; and
(iii)
payments will only be made while there is money in the allocated pension provided by the fund;
(e)
a statement that outlines the means by which the fund is to be maintained as a capital guaranteed fund and sets out the name of the institution providing the investments that back the fund;
(f)
a brief statement on the benefits that the person may become entitled to on becoming a member of the fund;
(g)
a brief statement of who may contribute to the fund;
(h)
a brief statement of when benefits are payable;
(i)
a brief statement of the taxation of the fund and benefits;
(j)
if a fixed-rate option is, or fixed-rate options are, offered by the fund in relation to the whole, or a part, of the benefits
-
a statement of the prescribed earning rate of each fixed-rate option and the term to which that prescribed earning rate applies;
(k)
if a variable-rate option is, or variable-rate options are, offered by the fund in relation to the whole, or a part, of the benefits:
(i)
a statement that the earning rate, or earning rates, may increase or decrease over time; and
(ii)
the actual or notional net earning rate for the same class of, or similar, options offered by the fund for each year of the previous 5 years; and
(iii)
the compound average of the annual actual or notional rate of net earnings for the same class of, or similar, options offered by the fund for each year of the previous 5 years; and
(iv)
a statement that past earning rates are not an indicator of future earning rates;
(l)
a summary of fees and charges that may be charged directly to the fund;
(m)
a brief statement about the effect of the member-protection standards;
(n)
if fees and charges are deducted before earnings are credited to the fund
-
a statement to the effect that earnings are credited net of all expenses;
(o)
details (in summary form) of arrangements that the fund has to deal with inquiries or complaints;
(p)
details of the existence and (in outline terms) the functions of the Superannuation Complaints Tribunal;
(q)
if Division 6 of Part 19 of the Act (cooling-off
-
redemption of interests) applies to the fund
-
a summary of the provisions of that Division relating to the cooling-off period;
(r)
a copy, or an updated version, of the information required to be given under Subdivision 2.4.3, that was most recently given to members of the fund;
(s)
a statement of the circumstances in which the trustee will pay the member's benefits to an eligible rollover fund, the effect of that payment and the contact details of the eligible rollover fund;
(t)
a statement that further information is available on request.
History
Reg 2.10(3A) amended by SR No 239 of 1999 and inserted by SR No 117 of 1997.
2.10(4)
If a variable-rate option has not been in existence for 5 years, the references in subparagraphs (3A)(k)(ii) and (iii) to 5 years are taken to be references to the whole period of existence of the option.
History
Regs 2.10(4), (5) and (6) substituted for reg 2.10(4) by SR No 117 of 1997.
2.10(5)
The information mentioned in subparagraphs (3A)(k)(ii) and(iii) must not have been first published or issued by the fund more than 15 months before the date the information was given to the person.
History
Regs 2.10(4), (5) and (6) substituted for reg 2.10(4) by SR No 117 of 1997.
2.10(6)
In this regulation:
'
fund
'
includes a capital guaranteed fund;
'
significant benefit
'
means a financial benefit that the trustee reasonably believes a member would reasonably expect to be told about.
History
Regs 2.10(4), (5) and (6) substituted for reg 2.10(4) by SR No 117 of 1997.
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