A T O home
Legal Database
Search   
for 
 
Access the database 
Browse database
Searches  
View last document
Quick access 
View legislation
View a document
Email Cross Reference Material Previous/Next Section Contents Previous/Next Result
Printable version
Printable
version

CORPORATIONS ACT 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS    View history reference

PART 7.9 - FINANCIAL PRODUCT DISCLOSURE AND OTHER PROVISIONS RELATING TO ISSUE, SALE AND PURCHASE OF FINANCIAL PRODUCTS    View history reference

Division 2 - Product Disclosure Statements    View history reference

Subdivision B - Requirement for a Product Disclosure Statement to be given    View history reference

SECTION 1012A  OBLIGATION TO GIVE PRODUCT DISCLOSURE STATEMENT - PERSONAL ADVICE RECOMMENDING PARTICULAR FINANCIAL PRODUCT  

 View history reference

1012A(1)  Section sets out recommendation situation in which Product Disclosure Statement required.  


This section sets out the situations in which giving financial product advice that consists of, or includes, a recommendation to acquire a financial product gives rise to an obligation on a regulated person to give another person a Product Disclosure Statement for the product.

1012A(2)  [Interpretation]  


For the purposes of this Division:


(a) each of the situations is a recommendation situation; and


(b) the relevant conduct for that situation is the making of the recommendation; and


(c) the client for that situation is the person to whom the advice is provided.

1012A(3)  Personal advice recommending a particular financial product.  


A regulated person must give a person a Product Disclosure Statement for a financial product if:


(a) the regulated person provides financial product advice to the person that consists of, or includes, a recommendation that the person acquire the financial product; and


(b) the person would acquire the financial product by way of:


(i) the issue of the product to the person (rather than the transfer of the product to the person); or

(ii) the transfer of the product to the person in circumstances described in subsection 1012C(5), (6) or (8) (secondary sales that require a Product Disclosure Statement); and


(c) the financial product advice is provided to the client as a retail client; and
 View history reference


(d) the financial product advice is personal advice to the client.

The Product Disclosure Statement must be given at or before the time when the regulated person provides the advice and must be given in accordance with this Division.

1012A(4)  This section has effect subject to other provisions.  

 View history reference

This section has effect subject to sections 1012D, 1012DA, 1012E, 1012F, 1012G and 1014E.


 



This information is provided by CCH Australia Limited. View the disclaimer and notice of copyright.
Top of page
More information on page