Financial and Investment Services

Deacons provides sophisticated legal services to this dynamic industry, focusing on helping clients manage the effects of a complex and rapidly changing regulatory environment. Our tightly knit, nationally based group can meet the most demanding requirements in all areas of financial services including funds management and superannuation. And our active participation in the industry means we are abreast of innovative product development and the continuing evolution of financial services.

We have it covered

Primary market, secondary market; wholesale, retail; single fund, delivery platform; Australian, international; equities, fixed interest, property, mortgages, derivatives – actively or passively managed. Deacons' Financial and Investment Services group of partners and professional staff provide legal services across all aspects of the funds management industry.

In superannuation, the group acts for a number of Australia’s largest industry and corporate super funds and has developed expertise in dealing with some of the most difficult and challenging operational questions facing these funds today.

We advise participants in the managed funds, financial planning, broking, custody, insurance and banking industries on issues such as licensing, disclosure, distribution and ongoing operations and management. As well as helping clients to develop and trade a wide range of products, we provide full operational and compliance support.

Keeping ahead of regulation

Constant legislative and regulatory change presents opportunities for the development of new products and services. A full understanding of ASIC, APRA and ASX procedures and industry trends means we can help clients spot those valuable opportunities. Deacons can assist clients to successfully launch and distribute their products and services in a competitive market.

A focus on compliance

Compliance failures can be costly to a business. Our regulatory and industry knowledge can assist clients to implement sound compliance structures. If problems do arise, our thorough knowledge of the regulators can be crucial to achieving quick resolutions and safeguarding our clients’ reputation.

In the know

At Deacons, we believe that ongoing participation in the industry is vital to stay ahead of continuing changes and developments. We play an active role in a number of industry associations including the Investment & Financial Services Association of Australia (IFSA), the Independent Compliance Committee Members’ Forum (ICCMF), the Australian Direct Property Investment Association (ADPIA), Association of Superannuation Funds of Australia (ASFA) and the ASIC managed scheme operators liaison group.

Our services

• advising in relation to financial services legislation including the Corporations Act 2001, and particularly the impact of the Financial Services Reform Act for all types of industry operations including insurance, banking, broking and custody
• investment products
  • development and structuring
• Australian financial services licence applications
• offer/disclosure documents
  • preparation, review, due diligence and verification for prospectuses, product disclosure statements (PDS) and Information Memorandums
• compliance and risk management
  • at establishment and ongoing, including audit
  • liaising with regulators including APRA, ASIC, ASX and the ATO
• managed investment schemes
  • drafting of constitutions, compliance plans, investment management agreements, custodial agreements, administration, registry and other outsourcing agreements
  • establishing advisory, sub-advisory, portfolio management and related arrangements, transitioning of funds to registered managed investment schemes
• superannuation
  • developing and restructuring of superannuation products
  • advising on the Superannuation Guarantee (Administration) Act 1992 and the Superannuation Industry (Supervision) Act 1993
  • public offer applications and compliance advice
  • negotiation and drafting of contracts and arrangements:administration, investment management, custodian,joint venture
  • liaising with regulators including APRA, ASIC and the ATO
• financial advisory and distribution
  • establishing distribution and referral arrangements
  • development of advisory documentation including Statements of Advice,Financial Service Guides and client communications

• Legal update: Temporary Residents’ Superannuation Legislation Amendment Bill 2008 passes the House of Representatives

  The Federal Government’s Temporary Residents’ Superannuation Legislation Amendment Bill 2008 (Bill) passed through the House of Representatives on 23 October 2008 and will now move to the Senate.

  10 Nov 08 Mark Abramovich , Andrew Beck

• Deacons in the press: Pros and cons of using promissory notes

  A strategy that reappears from time to time involves a self-managed super fund paying a member a benefit using a promissory note, reports The Australian, 30 July 2008.

  7 Aug 08 Kate Alexander, Scott Charaneka

• Media release: Deacons Guides a Super Merge

  Growing law firm Deacons has advised Print Super on its merger with Just Super to form Media Super, the second largest industry superannuation fund merger in Australia.

  18 Jul 08 Mark Abramovich, Kate Alexander

• Deacons in the press: Payroll systems need a check-up

  The shift to calculating superannuation based on ordinary time earnings means companies need to examine every type of payment they make and determine if it should be counted in their new calculations, reports the Australian Financial Review, 3 July 2008.

  3 Jul 08 Scott Charaneka , Kate Alexander

• Legal update: New withholding tax rates for Australian managed funds

  The Government as part of its 2008 Budget announced that the level of withholding tax will be reduced for certain distributions from managed investment trusts to improve the competitiveness of the Australian managed funds industry.

  19 May 08 Fadi Khoury, Peter Norman , Angela Zhang

• Legal update: New Guidance Note issued by the Takeovers Panel on equity derivatives

  On 11 April 2008, the Takeovers Panel (Panel) released Guidance Note 20 - Equity Derivatives (Guidance Note) outlining when, and in what circumstances, the use of equity derivatives may constitute unacceptable circumstances and require disclosure to the market.

  17 Apr 08 Shane Bilardi, Robert Sultan , Natalie Trezise

• Deacons in the press: Proposals for ASIC to regulate margin lending

  Deacons partner Fadi Khoury and lawyer Daniel Jung, feature in LexisNexis Butterworth's publication Financial Services Newsletter, March 2008, discussing the ASIC call for margin lending to be regulated under the Corporations Act. The article discusses the implications for credit providers and financial advisers who offer such margin loan facilities.

  4 Apr 08 Fadi Khoury , Mary-Anne Webb

• Deacons in the press: Developments in the regulation of margin loans

  Deacons partner Fadi Khoury and lawyer Daniel Jung were published in CCH Australia's publication Australian Corporate News, 17 March 2008, on the implications of margin lending being regulated under Corporations Act 2001. The feature article covers the implications for providers of margin loan facilities, credit providers and financial advisers, if such legislation is introduced.

  4 Apr 08 Fadi Khoury , Mary-Anne Webb

• Legal update: Super Guarantee Changes - are you ready for 1 July 2008

  From 1 July 2008, “ordinary time earnings” (OTE) will become the only earnings base used to calculate the superannuation guarantee obligations of all employers.

  27 Mar 08 Scott Charaneka , Emmelyn Teo

• Legal update: Market volatility - ASX and ASIC respond

  Sensing a growing controversy, the ASX and ASIC have issued a number of media releases in response to market concerns, reminding market participants of laws designed to protect the integrity of markets. This update discusses the ASX and ASIC statements in light of the current apparent market volatility.

  17 Mar 08 Tim Woodforde