To be precise, an ASIC regulated managed fund is defined on the ASIC website. To identify and assess reliability: Use a qualified and licensed financial planner/advisor; and/or you can personally investigate the constitution and compliance of the fund before making the investment.
What is the ASIC regulated managed fund required for Australia’s significant investor visa?
I came across documentation that mentions funds invested for the Australia significant investor visa need to be placed in an ASIC-regulated fund. I’m wondering how to find such a fund and how I can reliably identify the fund as truly regulated by ASIC.
It is not a fund, per se. It is a fund regulated by the ASIC.
In order to apply for a SIV, the client will need to make a complying significant investment of at least $5 million Australian dollars over four years in the following proportions: At least $500 000 in venture capital and growth private equity funds, which invest in start-ups and small private companies; at least $1.5 million in approved managed funds investing in emerging companies listed on the Australian Stock Exchange; a “balancing investment” of at least $3 million in managed funds that may invest in a range of assets, including ASX-listed companies, Australian corporate bonds or notes, annuities and commercial real estate. Direct investment in residential real estate continues to be prohibited and indirect investment in residential property through managed funds is now strictly limited. Investments must not be used as security or collateral for a loan. Pertaining to your circumstances you may also wish to consider other options under the 188 visa program, such as: business innovation stream, which is for people, who are nominated by a state or territory government, with business skills who want to establish, develop and manage a new or existing business in Australia; or the investor stream, which is for nominated people who want to make a designated investment of at least $1.5 million in an Australian state or territory and maintain business and investment activity in Australia. There is also a business talent (permanent) visa (subclass 132).
SIV applicants are required to invest $5 million into complying investments comprised of the following: (1) at least $500,000 into eligible Australian venture capital or growth private equity funds; (2) at least $1.5 million in an eligible managed fund or listed investment companies (LICs) that invest in emerging companies listed on the Australian Securities Exchange (ASX); and (3) a balancing investment of up to $3 million in managed funds or LICs that invest in a combination of eligible assets that include other ASX-listed companies, eligible corporate bonds or notes, annuities and real property (subject to a 10 percent limit of residential real estate). I believe that you are referring to the ASX-listed companies, which are eligible under investments (2) and (3). The best way to identify an eligible investment is by employing a fund manager to manage your investment. Investments must be provided by an Australian Financial Services (AFS) licensed manager who lives in Australia. Fund managers must be independent of the applicant and their spouse. Registered migration agents usually work very closely with a fund manager to ensure that your investments comply with the visa requirements.