iShares supports ASIC’s report on regulation of ETFs in Australia
Announcement posted by FCR (Financial & Corporate Relations Pty Limited) 30 Mar 2012
The report is specifically designed for stakeholders in the ETF industry and explains how ETFs are regulated in Australia and how proposed international principles addressing concerns about ETFs by international regulatory authorities may apply in Australia.
Mark Oliver, Managing Director, iShares Australia said, “We believe the report is a well-considered and balanced assessment of an industry that continues to deliver real benefits to investors amidst some of the most testing market conditions ever seen.
“The report should provide further investor confidence in the growing range of ETFs trading on the ASX. ETFs available in Australia remain largely plain vanilla,” Mr Oliver said.
In terms of regulating ETFs, ASIC confirms it remains in close dialogue with the Australian Securities Exchange (ASX) on proposed refinements and amendments to the Australian regulatory framework and it is in regular contact with other regulators including the Securities Exchange Commission (SEC) in the United States and the Securities and Futures Commission (SFC) in Hong Kong.
ASIC also considers the regulation of ETFs in Australia to be in line with proposed standards set by the International Organization of Securities Commission (IOSCO) and reflects consideration of the issues identified in IOSCO’s current consultation.
“As a global ETF provider, iShares aims to stay well ahead of future regulatory development and we will continue to strive for the highest standards of investor protection. As financial regulation comes under closer scrutiny in all parts of the world, Australians should take comfort from the strength of our local regulatory regime.
“An unwavering commitment to education and transparency has always been at the heart of the iShares ETF offering,” Mr Oliver said.
Further information is available at www.iShares.com.au
BACKGROUND INFORMATION
About iShares
iShares is the global product leader in exchange traded funds with over 500 funds globally across equities, fixed income and commodities, which trade on 19 exchanges worldwide. In Australia, iShares has 26 ETFs trading on the Australian Securities Exchange (ASX), across both domestic and international indices. The first iShares ETF was listed on the ASX in October 2007.
The iShares funds are bought and sold like common securities on securities exchanges. The iShares funds may be attractive to many individual and institutional investors and financial intermediaries because of their relative low cost, liquidity and trading flexibility. Investors can purchase and sell shares or units (as the case may be) through any brokerage firm, financial adviser, or online broker, and hold the funds in any type of brokerage account. The iShares customer base consists of the institutional segment of superannuation plans and fund managers, as well as the retail segment of financial advisers and individual investors. Visit iShares.com.au for further information.
About BlackRock
BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At December 31, 2011, BlackRock’s AUM was $3.513 trillion. BlackRock offers products that span the risk spectrum to meet clients’ needs, including active, enhanced and index strategies across markets and asset classes. Products are offered in a variety of structures including separate accounts, mutual funds, iShares (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions. Headquartered in New York City, as of December 31, 2011, the firm has approximately 10,100 employees in 27 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company's website at www.blackrock.com
IMPORTANT INFORMATION
Before investing in an iShares exchange traded fund, you should carefully consider whether such products are appropriate for you, read the applicable product disclosure statement (“PDS”) available at iShares.com.au and consult an investment adviser.
Issued by BlackRock Investment Management (Australia) Limited ABN 13 006 165 975 AFSL 230523 (“BIMAL”). BIMAL is a wholly-owned subsidiary of BlackRock, Inc. (collectively “BlackRock”).
BlackRock believes the information in this document is correct at the time of issue, but no warranty of accuracy or reliability is given and no responsibility arising in any way for errors or omissions (including responsibility to any person by reason of negligence) is accepted by BlackRock.
This information is general in nature, and has been prepared without taking into account any individual’s objectives, financial situation, or needs.