Corporations Amendment Regulation 2013 (No. 5) (151 of 2013)

Schedule 1  

Corporations Regulations 2001

1   After regulation 7.7A.12E

Insert:

7.7A.12EA Application of ban on conflicted remuneration - purchase or sale of financial advice business

A monetary benefit is not conflicted remuneration to the extent that:

(a) the benefit is given to a financial services licensee or a representative of the licensee; and

(b) the benefit is paid as part of:

(i) the purchase or sale of all or part of the licensee’s financial advice business; or

(ii) the purchase or sale of all or part of the representative’s financial advice business; and

(c) the price is calculated using a formula:

(i) which is based, in whole or in part, on the number or value of all or part of the financial products held by the licensee’s clients or the representative’s clients; and

(ii) in which the weighting attributed to the financial products issued by the licensee or a related body corporate or other person is the same as the weighting attributed to other similar financial products.