Investment Funds 2025

AUSTRALIA Law and Practice Contributed by: Michael Lawson, Nicole Brown, Lizzie White and Tamaryn Leach, MinterEllison

2.3.5 Rules Concerning Pre-Marketing of Alternative Funds In Australia, pre-marketing of alternative funds, like marketing of alternative funds, may involve providing financial services for which an AFSL will be required, subject to applicable exemp - tions. Please refer to 2.3.3 Local Regulatory Require- ments for Non-local Managers , 2.3.6 Rules Concerning Marketing of Alternative Funds and 2.3.7 Marketing of Alternative Funds . 2.3.6 Rules Concerning Marketing of Alternative Funds Marketing an alternative fund may involve pro - viding financial services in Australia, for which an AFSL will be required, subject to applicable exemptions. Non-local providers of financial services should refer to 2.3.3 Local Regulatory Requirements for Non-local Managers . 2.3.7 Marketing of Alternative Funds Alternative funds can be marketed in Australia as long as the person marketing the fund is author - ised under an AFSL (or an exemption – see 2.3.3 Local Regulatory Requirements for Non-local Managers ) to provide financial product advice or to deal in the relevant fund interests to the rel- evant client group. Typically, these funds would be marketed to wholesale clients only. If the person is not authorised to provide these services to retail clients, marketing activities must be limited to wholesale clients. In addition, where the fund is marketed to retail clients, it would usually need to be registered with ASIC as a “registered managed investment scheme” (see 2.3.4 Regulatory Approval Process ) and comply with regulated disclosure requirements

(see 3.3.1 Regulatory Regime ) and associated rules applying to regulated products. 2.3.8 Marketing Authorisation/Notification Process In Australia, marketing alternative funds may involve providing financial services, for which an AFSL will be required, subject to applicable exemptions. In these circumstances, depend - ing on whether an AFSL will be required or an exemption is available, some form of prior authorisation or notification may be required to be made to ASIC. For example, if it is determined that an AFSL is required, an application for an AFSL will need to be made to ASIC prior to any marketing activities taking place. Alternatively, if it is determined that an exemp - tion is available, then prior notification to ASIC may be required depending on the exemption. Please refer to 2.3.3 Local Regulatory Require- ments for Non-local Managers . 2.3.9 Post-Marketing Ongoing Requirements Once an alternative fund has been marketed to investors in Australia, certain ongoing require - ments may need to be considered. Certain activities in relation to the alternative fund (for example, issuing interests in the alter - native fund to investors in Australia and provid - ing reporting and information to such investors) may involve the provision of a financial service in Australia. In these circumstances, the fund operator may require an AFSL or be able to rely on an exemption.

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