Dollar disclosure extra time falls short
Fund managers and product providers may still fail to meet the deadline to comply with the new dollar disclosure regime, despite the Australian Securities and Investments Commission (ASIC) extending the cut-off date to March 1, 2005.
ASIC announced an extension of the previous deadline of January 1, 2005, last week, after receiving some 40 submissions from financial services groups and industry associations.
The regulator says it will finalise the exact policy for the dollar disclosure regime by November this year.
However, John O’Shaughnessy, the deputy chief executive of the Investment and Financial Services Association, which had been seeking a six month timeframe once the final policy was released, argues that many institutions will struggle to meet the extended deadline.
“We were looking for six months from the date ASIC released its final determination as the work involved is substantial,” O’Shaughnessy says.
According to O’Shaughnessy, many groups with legacy and out of date systems will not make the cut-off next March.
However, prior to last weekend’s federal election, Opposition Spokesman on Retirement Incomes Senator Nick Sherry said postponing the date for compliance is a blow for consumers.
“It’s bad to put the date back as these groups have had plenty of time and knew this was going to happen and largely understand what they will need to do,” Sherry said.
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