The Australian Securities and Investments Commission (ASIC) proposed remaking six legislative instruments tied to managed investment schemes, extending existing relief measures for another five years. The instruments, currently scheduled to expire on 1 October 2026, provide exemptions from registration, disclosure, fundraising, licensing, and hawking requirements under Australia's Corporations Act 2001. ASIC stated the proposal reflects a regulatory approach balancing stricter financial oversight with targeted relief designed to reduce operational friction across investment markets. The consultation arrives during a period of rising scrutiny around managed investment structures globally as regulators respond to growing retail participation, increasing private market activity, and expanding alternative investment products.
ASIC Targets Operational Continuity Across Investment Structures
The proposal covers six separate legislative instruments relating to managed investment schemes, including relief tied to serviced apartment schemes, property rental schemes, charitable fundraising vehicles, school enrolment deposits, horse racing syndicates, and attribution managed investment trusts. ASIC said the instruments continue to form "a necessary and useful part of the legislative framework." The regulator added that only minor amendments focused on clarity and consistency are proposed, with the substantive relief measures remaining largely unchanged.
The proposal also includes removal of transitional provisions that ASIC said are no longer necessary, including relief originally designed to assist responsible entities transitioning into Australia's attribution managed investment trust regime. Submissions on the consultation remain open until 24 June 2026.
Managed investment schemes occupy a major role inside Australia's financial system, particularly across property, retirement, infrastructure, agriculture, and alternative investment markets. According to Reserve Bank of Australia financial stability analysis, Australia's managed funds sector oversees trillions of dollars in assets spanning superannuation funds, trusts, investment vehicles, and collective investment schemes.
Global Regulators Reassess Investment Scheme Oversight
ASIC's proposal mirrors broader international regulatory efforts to modernize oversight around investment vehicles while preserving market efficiency. Over the past several years, regulators including the U.S. Securities and Exchange Commission, ESMA, and the UK Financial Conduct Authority introduced or reviewed rules tied to liquidity management, fund disclosures, alternative assets, and retail investment protections. The regulatory focus intensified following market stress episodes involving property funds, private credit structures, and illiquid investment vehicles.
In Australia specifically, managed investment schemes historically attracted heightened regulatory attention following several high-profile collapses during and after the global financial crisis. That history partly explains why ASIC continues maintaining relatively detailed oversight frameworks around managed schemes while simultaneously providing targeted relief for niche or operationally impractical structures.
ASIC Corporations (Horse Schemes) Instrument 2016/790 currently provides conditional relief allowing small-scale horse racing syndicates to avoid registration requirements while establishing co-regulatory arrangements with state and territory racing bodies. Without such relief, smaller syndicates could face disproportionately high compliance costs relative to operational scale. Similar logic applies to school enrolment deposits and charitable investment fundraising structures, where full managed investment compliance frameworks could create significant administrative burdens for organizations operating outside traditional commercial investment management.
Managed Investment Structures Continue Expanding Globally
The timing of ASIC's consultation aligns with broader global growth across collective investment and managed fund structures. According to the Investment Company Institute, regulated investment fund assets globally exceeded $70 trillion during 2025, supported by continued expansion in retirement investing, ETFs, private credit, infrastructure vehicles, and alternative asset structures.
Australia itself remains one of the world's largest managed fund markets relative to population size due largely to its compulsory superannuation system. Research from PwC Australia projected Australian superannuation assets alone could exceed A$11 trillion by 2041, substantially increasing the importance of efficient managed investment infrastructure and regulatory frameworks.
Regulators globally continue facing pressure to modernize frameworks around alternative assets, cross-border investment structures, private market vehicles, tokenized investment products, retail participation, and liquidity management. ASIC's decision to largely preserve the existing instruments rather than redesign them substantially suggests the regulator currently views the framework as operationally effective.
Industry participants increasingly argue that excessive regulatory complexity can reduce market participation, increase operational costs, and discourage innovation, particularly for smaller-scale investment arrangements. At the same time, regulators remain cautious about weakening investor protection standards following years of heightened scrutiny around financial misconduct, disclosure failures, and governance weaknesses across global investment markets.
ASIC's consultation reflects a regulatory balancing act increasingly visible across major financial jurisdictions: preserving operational flexibility without materially weakening oversight. The regulator's proposal to extend the instruments until 2031 suggests Australia expects these specialized managed investment structures to remain a relevant part of the country's financial ecosystem for years ahead.
Key Metrics
| Metric | Figure | Source |
|--------|--------|--------|
| Legislative instruments proposed for extension | 6 | ASIC |
| Proposed extension period | 5 years | ASIC |
| Current expiry date | 1 Oct 2026 | ASIC |
| Consultation submission deadline | 24 Jun 2026 | ASIC |
| Global regulated fund assets | $70T+ | Investment Company Institute |
| Projected Australian superannuation assets by 2041 | A$11T+ | PwC Australia |
| Primary regulatory challenge | Oversight vs operational flexibility | Industry analysis |
