Information about ‘regulated offers’ must be disclosed in a Product Disclosure Statement (PDS) and the Disclose register. Together, this information must include all material information about the offer of a financial product and be up-to-date, accurate and understandable. The purpose of the information is to assist investors with their decisions on financial products.
The PDS provides key information about the offer focused on the prudent but non-expert investor.
It must be worded and presented in a clear, concise and effective manner and has a prescribed content and format to make offer information accessible to retail investors.
A compulsory Key Information Summary at the front of the PDS gives investors an overview of key characteristics and the specific risks of the financial product.
A PDS must comply with prescribed length limits. These limits are the maximum allowed – issuers are encouraged to use less where possible. The maximum limits are:
|Product type||Page limit
(printed A4 pages)
|Or, word limit|
|Managed investment scheme:
• managed fund
• other MIS
More information about PDS's can be found on our FAQs section.
Material information about a regulated offer that is not included in a PDS needs to be uploaded to the Disclose Register. It holds information about financial products (split into debt, equity, managed investment products and derivatives). It also has online registers for managed investment schemes (split into managed funds and other managed investments schemes).
The Disclose Register provides a rich source of supporting information for investors, and enables advisers and analysts to carry out more in-depth research and analysis. We published guidance on the content and form of the Disclose Register information. The Disclose Register will continue to be developed during the two year transitional period to add in search and compare functions. All regulated financial products must be registered it by midnight 30 November 2016.
Our guidance on making offers under the Securities Act is also broadly applicable to offers under the FMC Act.