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Increasing International Competitiveness For Australian’s Managed Fund Industry

Media Releases

Date : 27 August 2021

Author: The Hon Josh Frydenberg MP

THE HON JOSH FRYDENBERG MP
Treasurer

THE HON MICHAEL SUKKAR MP
Assistant Treasurer
Minister for Housing
Minister for Homelessness, Social and Community Housing

JOINT MEDIA RELEASE

27 August 2021

INCREASING INTERNATIONAL COMPETITIVENESS FOR AUSTRALIA’S MANAGED FUND INDUSTRY

As part of our plan to increase the competitiveness of Australia’s managed funds industry, the Morrison Government will begin consultation on finalising its Corporate Collective Investment Vehicles (CCIVs) regime.

The CCIV regime will enhance the international competitiveness of the industry by allowing fund managers to offer investment products using vehicles that are more familiar to overseas investors.

As part of a commitment in the 2021-22 Budget to complete the implementation of the CCIVs regime, the Government has released draft legislation for public consultation that implements the tax and regulatory components of the CCIV regime and their related explanatory materials.

Building on extensive previous public consultation on CCIVs, this consultation focuses on four key policy proposals to ensure that Australia has a commercially viable and competitive CCIV regime.

In response to the submissions from previous consultations, the Government will ensure Australia remains an attractive option for international investment by providing:

• equivalent tax treatment of CCIVs with that of Attribution Managed Investment Trusts;
• flexibility for CCIVs to use a custodian or a depositary;
• flexibility to list a retail CCIV with one sub-fund on a prescribed financial market in Australia; and
• flexibility to cross-invest between different sub-funds of a CCIV.

The Government welcomes views from industry on these revised policy positions as well as on related issues in the new draft legislation released today.

The Government remains committed to delivering a viable, modern collective investment vehicle, positioning Australia’s managed funds industry to attract greater offshore investment now and into the future

Further information on the public consultation and the draft bills and explanatory materials can be found on the Treasury website.

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