Australia has taken a decisive step towards its advancement as a global investment market, with the smooth passage of the Investment Manager Regime (IMR) legislation through the Australian Parliament.
The Alternative Investment Management Association (AIMA), the global hedge fund industry association, notes that the legislation, which contains a number of favourable amendments to its earlier draft form, marks a new chapter for Australia to grow as an attractive destination for foreign capital and fund trading operations.
Michael Gallagher, General Manager of AIMA Australia, said the IMR is the culmination of meaningful consultations between the financial services industry and Australian Treasury, dating back to 2012; and is designed to ensure fair treatment of all investment segments, including Australia’s young and growing hedge fund community.
“This new regime levels the playing field with other hedge fund centres around the world, and in doing so, promises to transform the hedge fund sector in Australia,” he says. “Hedge funds managed out of Australia will be more able to attract capital from international institutional investors as a result of these changes, while international fund management firms will find it easier to build a business case for establishing operations in Australia.”
The Bill to implement Element 3 of the Australian Investment Manager Regime (IMR3) was introduced on 27 May 2015, passed by the Senate on 17 June 2015, and now awaits Royal Assent.
