Licensing Solutions for Australian MIS Managers | Pre-licensing Assessment | MIS AFSL Application Support | Post-licensing Risk and Compliance Management

We offer a comprehensive set of solutions to help you obtain and maintain an Australian Financial Services Licence for Managed Investment Scheme Managers (MIS AFSL) issued by the Australian Securities and Investments Commission (ASIC), tailored to:

• Your business goals and objectives
• Your client demographics
• Your countries of operations
• The size of your business
• The available human and technology resources
• Your risk appetite
• Your governance structure
• The products that you offer
• ASIC Licensed MIS Managers’ Obligations: covering risk and compliance management under financial laws and regulations, the applicable financial licensing requirements, AML/CFT laws, privacy laws, consumer protection laws, and more

We have designed our financial licensing solutions to help you navigate the complexities of the Australian MIS licensing framework in a commercially oriented and goal-focused manner, providing effective support for all stages of the MIS AFSL licensing process, including but not limited to the following aspects:

• MIS AFSL Guidance: Advising on a wide range of aspects associated with MIS AFSL licensing as it relates to your specific situation
• Pre-licensing assessment: Covering compliance gap analysis as well as risk and compliance assessment
• Pre-licensing support:
• Drafting the necessary policies and procedures to help you comply with the MIS AFSL licensing conditions and financial markets' regulations
• Developing internal controls to help you meet your obligations under the Australian MIS licensing framework
• MIS AFSL Application Support: Covering the entire licensing process
• Post-licensing Support: Covering
• Ongoing compliance advice
• Comprehensive second-line risk and compliance support, including leading the implementation of your risk management framework (RMF), compliance management framework (CMF), compliance monitoring program (CMP), compliance calendar and checklist, ongoing risk assessments, internal and external reporting, outsourced providers' management, and more
• AML/CFT advice
• AML/CFT compliance management
• Compliance assurance solutions, including compliance assurance program (CAP) development, implementation, and internal control testing

 

Service Coverage

This page is about the Australian MIS AFSL. According to the ASIC, "Managed investment schemes are also known as 'schemes' or 'pooled investments'. Generally, in a managed investment scheme:

• multiple investors contribute money or money's worth and get an interest in the scheme. 'Interests' in a scheme are a type of financial product and are regulated by the  Corporations Act
• money from the different investors is pooled together (often many hundreds or thousands of investors) or used in a common enterprise
• a 'responsible entity' (also referred to as a 'fund manager') operates the scheme. Investors do not have day-to-day control over the operation of the scheme.

Managed investment schemes cover a wide variety of arrangements and underlying assets. Some examples of managed investment schemes include:

• cash management trusts
• property schemes
• Australian equity (share) schemes
• international equity schemes
• exchange traded funds (ETFs)
• mortgage schemes
• agricultural schemes (e.g. horticulture, aquaculture, viticulture)
• horse-breeding and horse racing schemes
• time-sharing schemes
• serviced strata schemes."

In addition to MIS AFSL licensing, we also provide licensing and compliance solutions in other jurisdictions. For more information, please visit our Fund Managers' Licensing Solutions Page.

 

MIS AFSL Licensing Preparation

Pre-licensing Compliance Assurance

Our MIS AFSL solutions cover the following focus areas:

• Compliance Goals Analysis: We review your business-specific goals and resources against the suitability criteria for the Australian MIS licensing framework
• Initial Consultation: We provide guidance on potential risk and compliance issues that may arise during the MIS AFSL licensing process
• Choosing the Right Jurisdiction: We assist in evaluating regulatory, risk, and compliance environments to determine the most suitable jurisdictions for your MIS AFSL, tailored to suit your:

• business objectives,
• operational capacity,
• client base,
• markets of operations,
• and other relevant factors

• Gap Analysis: We identify gaps between your existing operations and regulatory requirements and help you align them in a commercially oriented manner
• MIS AFSL Application Plan: We help you establish a roadmap to effectively meet the MIS AFSL licensing requirements

 

MIS AFSL Licensing Guidance

Selecting the right compliance model is crucial not only for navigating the licensing process but also for maintaining ongoing compliance and avoiding potential breaches. Our MIS AFSL solution covers:

• Compliance Model Selection: To help you best comply with the Australian MIS licensing framework and related risk and compliance obligations.
• Corporate Governance Model Selection: We offer practical guidance on establishing effective corporate governance practices that support your risk and compliance oversight.
• Operations Model Advisory: We advise you on optimising your operational and governance models to help you efficiently comply with the Australian MIS licensing framework, keeping in mind your specific circumstances, available resources and business goals.

 

Entering the ASIC Regulated Environment

We help businesses transition from an unregulated environment to operating under the Australian MIS licensing framework, helping them meet their obligations as MIS AFSL holders.

We also assist already regulated businesses in aligning their existing risk and compliance management structures with the requirements of the Australian MIS licensing framework.

Our focus areas for this service include:

• New businesses
• Existing MIS managers operating in unregulated markets
• Regulated MIS managers expanding into foreign jurisdictions
• Financial institutions and/or service providers with established risk and compliance frameworks seeking to introduce a regulated fund management service as a new product.

 

 

Multi-Jurisdictional Compliance

With years of experience managing risk and compliance obligations for businesses operating under multiple financial licences across various jurisdictions, we help businesses remain compliant with the fund managers’ obligations globally.

 

 

MIS AFSL Application

We assist with your licence application through ongoing engagement in the MIS AFSL licensing process:

• Document Compilation and Review: We compile and review all required supporting documents to support your MIS AFSL Application.
• Application Form Completion: We help you complete the forms so that all material information is accurate and complete.
• Pre-Submission Review: We can arrange a pre-submission review session with key stakeholders to ensure all parts of your application are understood and agreed upon. This session aligns application details with the actual situation, removing ambiguity.
• Regulatory Liaison: We manage the end-to-end submission process, maintaining clear and effective communication channels throughout the ASIC licensing process.
• Timeline Management: We closely monitor and adhere to all necessary deadlines, providing timely updates and adjustments to keep the application process on track.

 

Resolving MIS Manager’s AFSL Issues

Having competent compliance advisors is crucial when licensing issues arise. Therefore, our MIS AFSL licensing solutions include a range of services to address and resolve these issues effectively:

• Remediation Solutions for MIS AFSL Applicants: We address and remediate risk and compliance issues identified by regulators, helping your operations align with the requirements of the Australian MIS licensing framework.
• Specific Licence Conditions Compliance: We can help you manage additional conditions imposed on your MIS AFSL, developing a tailored action plan to maintain compliance and facilitate the eventual removal of these conditions with minimal disruption to your business operations.
• Licensing Issues Handling: We address common licensing issues encountered during the MIS AFSL licensing process, providing you with solutions to navigate and resolve these challenges efficiently.
• Further Information: You can visit our Compliance Remediation Solutions page for more information.

 

Post-Licensing Support

We offer a full range of ongoing risk and compliance solutions for ASIC-licensed MIS managers. Our services include but are not limited to:

Ongoing Risk and Regulatory Compliance

• ASIC Licensed MIS Managers’ Obligations Guidance: We can advise your risk, compliance, management and other teams on meeting the requirements of the Australian MIS licensing framework and other regulatory compliance obligations. You can visit our Compliance Consultancy Service page for more information.
• Regulatory Risk and Compliance Management: We provide dedicated compliance managers to manage your overall compliance. For more information, visit our Specialised Compliance Management Solutions page for Fund Managers.
• Compliance Assurance Solutions: As part of our compliance assurance solutions, we offer:

• Compliance Assurance Program (CAP) development and testing options
• Internal Controls Design option
• Internal Controls Testing option
• Internal AML/CFT Review option
• Statutory AML/CFT Audit option

• Compliance Training Solutions: We offer training programs to different teams on complying with:

• ASIC Licensed MIS Managers’ obligations for risk and regulatory compliance management. You can visit our Compliance Training page for more information.
• Australian MIS Managers’ AML/CFT obligations and operational best practices for fraud prevention. You can visit our AML/CFT Training page for more information.
• Crisis Management Planning: We can develop proactive strategies to manage potential compliance crises effectively.
• Anti-Money Laundering (AML) and Counter Terrorist Financing Solutions: We provide a full range of AML/CFT solutions for MIS providers. For more information, visit our Specialised AML/CFT Solutions page for Fund Managers.
• Advanced Compliance Technologies: We can assist you with selecting and integrating advanced technology solutions, such as compliance automation tools and regulatory technology (RegTech), to streamline compliance processes without disrupting operations.

• Risk and Compliance Framework Adjustments: Including adjustments to risk management frameworks (RMFs), compliance monitoring programs (CMPs), compliance management frameworks (CMFs), and other core procedures and policies to align them with:
• new business goals
• regulatory changes
• changes in your operations
• evolving market conditions
• changes in stakeholders’ risk appetites (your banking partners, insurance companies, liquidity providers, etc.).

 

 

Risk and Compliance Obligations for ASIC Licensed MIS Managers

ASIC Licensed MIS managers are subject to various obligations set out in applicable laws and regulations. They are also expected to uphold standards for their conduct and internal operations, as outlined in regulatory guidance or accepted industry practices.

We can help you address these obligations and expectations through comprehensive support in different areas. The list below is not exhaustive:

MIS AFSL and Regulatory Compliance Obligations

• Compliance Management Systems: We can help you establish effective compliance programs, compliance monitoring plans, controls testing methodologies, compliance calendars and more (as required under RG 104).
• Risk Management Frameworks: We can help you develop comprehensive risk management frameworks to fulfil ASIC licensed MIS managers’ obligations for identifying, assessing, and mitigating operational, regulatory, strategic, financial and other types of risks (covered under RG 259).
• Policy and Procedure Development: We can help you draft and implement policies and procedures aligned with the MIS AFSL licensing requirements (as required under RG 104 and RG 105).
• Compliance Monitoring Plans: We can oversee the execution of your CMPs, covering ongoing monitoring of your compliance obligations under the Australian MIS licensing framework.
• Internal Control Testing and Compliance Assurance: We can conduct internal reviews and audits of your controls to test their effectiveness and compliance with the applicable regulatory standards.
• Capital Adequacy Requirements: We can help you implement controls to comply with capital adequacy requirements (covered by RG 166 ), helping your businesses meet ASIC licensed MIS managers’ obligations for maintaining required financial resources.
• Liquidity Management Requirements: We can assist you in developing controls to comply with liquidity management requirements.
• Financial Auditing Standards: We can assist in establishing procedures to help you comply with the audit and assurance requirements under the Australian MIS licensing framework.
• Digital Payment Token Services: Where, applicable we can assist in developing controls to comply with regulations for digital payment tokens, cryptocurrencies, and digital assets, including obligations under the Australian MIS licensing framework and AML/CFT requirements for transaction monitoring and reporting.
• Compliance with Constitution and Compliance Plan Obligations: We can help you implement controls to support your compliance with the MIS constitution and compliance plan obligations, including procedures for scheme operations, monitoring mechanisms, and required documentation to meet ASIC’s expectations for Responsible Entities under the Corporations Act.
• Records Management and Accessibility: We can help you with your record-keeping requirements for management and retention of relevant records.
• Governance Notification Obligations: We can help you develop controls to maintain governance and compliance arrangements at or above the standards advised during licensing.

 

MIS AFSL and Operational Oversight Obligations

• Oversight of Outsourcing: We can establish a set of effective controls to comply with MIS AFSL licensing requirements for overseeing outsourced services (under RG 104 and RG 105), also covering related obligations under AML/CFT compliance, ISO requirements, and more.
• Structures for Governance: We can help you establish effective governance structures to comply with ASIC licensed MIS managers’ obligations and develop an effective approach to overseeing your risk exposure and compliance status across different functions of your business.
• Senior Management Accountability: We can help you comply with ASIC licensed MIS managers’ obligations for senior management and key staff conduct and competence.
• Maintaining Operational Resilience: We assist in developing continuity plans to meet ASIC licensed MIS managers’ obligations for operational resilience, helping critical business services withstand disruptions (ASIC Report 708 and other publications).
• Managing Technology Risks: We provide guidance on technology risk management obligations under the Australian MIS licensing framework.

 

MIS AFSL and Market Integrity/Transparency Requirements

• Standards for Market Conduct: We can help you implement controls for ASIC licensed MIS managers’ obligations to maintain fair and transparent market conduct, including preventing manipulation and insider trading.
• Principles for Fair Treatment: We can help you implement controls to comply with expectations that cover adherence to principles of fair treatment and transparent communications with clients.
• Standards for Conduct and Disclosure: We can help you comply with MIS AFSL licensing standards for conduct and disclosure.
• Product Suitability and Governance: We can establish tailored controls to help ASIC licensed MIS managers’ obligations comply with product suitability and governance obligations, including risk management and governance arrangements across the product life cycle.
• Protection of Client Assets: We can help you comply with MIS AFSL licensing obligations to protect and segregate client assets.
• Resolution of Disputes: We can help you establish effective mechanisms for dispute resolution and complaints management, particularly for retail clients.

 

MIS AFSL and Resource Management Obligations

We can help you comply with the following requirements of the Australian MIS licensing framework:

• Adequacy of Resources: Covering financial, technological, human and other resources.
• Competence of Professionals: Covering key personnel, their necessary skills, knowledge, and professional competence.
• Our focus areas include:
• Assessment and Gap Analysis: We can help you evaluate the adequacy of your financial, technological, and human resources against the requirements of the licensing regime.
• Resource Allocation Plans: We can help you develop strategies to optimise resource allocation, covering sufficient capacity for compliance, trading, operations, banking, customer support and other functions and departments.
• Technological Solutions: We can recommend and implement RegTech tools to streamline compliance processes, such as transaction monitoring, reporting, and audit trails.
• Key Personnel Assessment: We can help you assess the skills, qualifications, and experience of key personnel to identify areas for improvement.
• Training and Development Programs: We can design and deliver targeted compliance training programs to upskill personnel in compliance, risk management, and compliance regulations.
• Competence and Accreditations of Advisors and Representatives: We can advise you on certifications and continuing professional development (CPD) requirements for compliance professionals and senior management.
• Representative Vetting: We can help establish a framework for assessing the competence and suitability of advisors and representatives before appointment.
• Compliance Monitoring: We can help develop controls to monitor representatives' adherence to conduct and disclosure obligations.
• Ongoing Training: We can help you create a framework to support continuous education for advisors and representatives on licensing obligations (under RG 146 and RG 105), market integrity, and client interaction standards.
• Regulator Liaison: We can act as an intermediary with regulators to address queries and help you demonstrate compliance with resourcing obligations.

 

MIS AFSL and Reporting

• Regulatory Reporting: We can help you prepare and submit periodic and ad-hoc reports covering:
  • Australian MIS Managers' Licensing Obligations
  • Australian MIS Managers’ AML/CFT Obligations (SMRs, cross-border transaction reports (IFTIs), cash transaction reports TTRS, and other reporting obligations)
  • ASIC Licensed MIS managers’ obligations under the financial markets' conduct-related regulations 
• Compliance Documentation: We can help you develop and maintain the necessary documentation to meet record-keeping obligations under various laws and regulations.
• Audit Readiness: We can prepare you for audits and reviews to demonstrate compliance with regulatory requirements, provisions of the Australian MIS licensing framework, applicable operational standards, and more.

 

 

Related Licensing Solutions 

We assist in obtaining MIS AFSL equivalents in the following jurisdictions:

• United Kingdom: For more information on the United Kingdom equivalent of the MIS AFSL - FCA Authorisation for Authorised and Recognised Funds required for MIS providing investment management, discretionary portfolio services, and financial advisory services to retail and professional clients, you can visit our UK Fund Managers' Authorisation page.
• Singapore:

• For more information on the Singapore MIS AFSL equivalent – Licensed Fund Management Company Licence (LFMC), you can visit our LFMC Solutions page
• For more information on the Singapore Venture Capital Fund Manager Licence (VCFM), you can visit our RFMC Licensing Solutions page.

• United States: We offer USA-based MIS managers licensing options. Generally, MIS managers in the US are regulated by the Securities and Exchange Commission (SEC) or state securities authorities under the Investment Advisers Act of 1940. Registration as Investment Advisers is required for both retail and institutional clients, with differing obligations and disclosure requirements.
• New Zealand:

• For more information on the New Zealand Investment Scheme manager (MIS) Licence, please visit our New Zealand MIS Licence page.
• For more information on the New Zealand Discretionary Investment Management Services (DIMS) Licence, please visit our New Zealand DIMS Licence page.
• For more information on the New Zealand fund managers and investment firms that do not offer their products in the retail market, please visit our FSP Registration page.

• Prominent Financial Centres and Offshore Tax Havens: We also offer MIS managers' licensing solutions for prominent financial centres and offshore tax havens, including:

• MiFID II Authorisation in the European Union
• Securities Business Licence in the Cayman Islands
• Securities Licence in the British Virgin Islands (BVI)
• Securities Licence in Seychelles
• Fund Services Business (FSB) Licence in Jersey
• Guernsey Financial Services Commission (GFSC) Licence
• Man Financial Services Authority (IOMFSA) Licence
• Securities and Futures Commission (SFC) Licence in Hong Kong
• Monetary Authority (BMA) Licence in Bermuda
• Financial Services Commission (FSC) Licence in Mauritius