Asia Region Funds Passport bill good news for industry
The passing by both Houses of Parliament of the Bill to introduce the Asia Region Funds Passport (ARFP) has been good news for the Australian financial services industry and will play a key role in facilitating growth in the region, according to a provider of a critical component of the wealth management industry’s infrastructure, APIR.
The firm’s chief executive, Chris Donohoe the ARFP would help facilitate cross-border distributions of funds between member jurisdictions.
“The passing of the Bill follows the launch of a pilot program at the start of this year to test the regulatory framework and investigate operational requirements, and APIR has been a strong supporter and participant in the pilot,” he said.
This would also create new opportunities for Australian fund managers to expand into Asian growth markets as well as for Australian investors to access regional investment expertise, he said.
However, he warned that the future success of the ARFP would depend on whether or not the right system would be set up to facilitate delivery of information and data about funds and holdings across different jurisdictions.
“We believe that the adoption of a standardised regional identification regime will enable a scalable and cost-effective system in line with the domestic and regional expectations of the ARFP,” Donohoe said.
AUTHOR
Oksana Patron
Recommended for you
Asset managers may be urged to diversify their product ranges, but investment executives have warned any M&A deal should avoid simply filling gaps and instead consider long-term value creation.
Specialist wealth platform provider Mason Stevens has become the latest target of an acquisition as it enters a binding agreement with a leading Sydney-based private equity firm.
Fund managers are entering 2025 with the most bullish sentiment since August 2021 and record high allocations to US equities, thanks to the incoming Trump administration.
An independent expert has ruled the Perpetual deal with KKR is no longer in the best interest of shareholders in light of the increased tax liabilities.
