Financial Markets Conduct (Mercer Super Trust) Exemption Notice 2024

The Financial Markets Conduct (Mercer Super Trust) Exemption Notice 2024 relates to initial and ongoing registration requirements for workplace savings schemes. In particular, it relates to the eligibility requirements in the Financial Markets Conduct Act 2013 (FMC Act) that restrict admission of members of workplace savings schemes to those that are currently employed or engaged by a relevant person or in a relevant industry. Subject to conditions, the exemption allows Mercer Super Trust (Scheme) to accept members who have ceased to be employed or engaged by a relevant person or in a relevant industry, for example due to retirement (retired members), and individuals whose eligibility to benefits is contingent on their relationship to a now-deceased member in a restricted workplace savings scheme, for example a spouse (contingent members) without causing the Scheme to breach the FMC Act’s initial and ongoing registration requirements for workplace savings schemes.

Consequently, the exemption will also, subject to FMC Act transfer provisions, enable the trustees of restricted workplace savings schemes seeking to transfer members to a master scheme to offer all their scheme members (including retired members and contingent members) the ability to transfer to the Scheme. 

The exemption is subject to conditions that ensure that:

(a) the only additional category of persons able to become members of the Scheme are individuals who become or are to become members of the Scheme as a result of a transfer from a restricted workplace savings scheme;

(b) if the transfer involves defined benefit members then the Scheme must ensure that it complies with the actuarial examination requirement in section 169 of the FMC Act;

(c) the governing document for the Scheme reflects the conditions in (a) and, if any participating employer plan provides for defined benefit members, (b) above; and

(d) member consent (if applicable) is obtained from each member prior to the transfer.

Download Financial Markets Conduct (Mercer Super Trust) Exemption Notice 2024 [PDF] 318KB