Section 1222KCorporations Act 2001 (Cth)

Retail CCIV test

(1) A CCIV satisfies the retail CCIV test in this section if any of the following apply:

(a) at least one member of the CCIV is covered by subsection (2) (about protected retail clients);

(b) at least one member of the CCIV is covered by subsection (3) (about protected clients under custodial arrangements);

(c) at least one member of the CCIV is covered by subsection (4) (about protected members of passport funds).

When a person is a protected retail client of a CCIV

(2) For the purposes of paragraph (1)(a), a person is covered by this subsection in relation to a CCIV if all of the following apply:

(a) the person acquires a security (within the meaning of Chapter 7) issued by the CCIV, by way of:

(i) an issue of the security to the person (rather than a transfer of the security to the person); or

(ii) a transfer of the security to the person in circumstances described in subsection 1012C(5), (6) or (8) (secondary sales that require a Product Disclosure Statement);

(b) the person acquired the security as a retail client for the purposes of Chapter 7;

(c) the person is not associated (within the meaning of subsection 1241S(3)) with the CCIV;

(d) if the person acquired the security by way of an issue—the issue was not made in a situation, or pursuant to an offer made in a situation, to which section 1012E (about small scale offerings) applies.

Note: Section 1012E applies to financial products that are securities in a CCIV: see subsection 1241S(6).

When a person is a protected client under a custodial arrangement

(3) For the purposes of paragraph (1)(b), a person is covered by this subsection in relation to a CCIV if all of the following apply:

(a) an acquisition of a security (within the meaning of Chapter 7) in the CCIV occurs pursuant to an instruction given by the person under a custodial arrangement (within the meaning of section 1012IA);

(b) if there were an equivalent direct acquisition (within the meaning of subsection 1012IA(2)) by the person, the person would acquire the security as a retail client for the purposes of Chapter 7;

(c) the person is not associated (within the meaning of subsection 1241S(3)) with the CCIV.

When a person is a protected passport fund member

(4) For the purposes of paragraph (1)(c), a person is covered by this subsection in relation to a CCIV if:

(a) a sub‑fund of the CCIV is an Australian passport fund; and

(b) the person became a member of the sub‑fund (whether in this jurisdiction or any host economy for the fund):

(i) on the expectation that the sub‑fund would become an Australian passport fund; or

(ii) after the sub‑fund became an Australian passport fund; and

(c) the person:

(i) is not, and has not at any time been, the corporate director of the CCIV; and

(ii) is not a related party of an entity that is, or has at any time been, the corporate director of the CCIV.

Note: See section 1216B for the circumstances in which a person becomes a member of a fund on the expectation that it would become an Australian passport fund.

Regulations

(5) The regulations may do either or both of the following:

(a) prescribe additional circumstances in which a person is covered by subsection (2), (3) or (4) in relation to a CCIV;

(b) provide that a particular class of person is not covered by subsection (2), (3) or (4) in relation to a CCIV.

Sourced from the Federal Register of Legislation at 17 May 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au. Verify the current text against the official source before relying on it.

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