Investors Identification
In 2006 the Federal Government enacted the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF). The purpose of this legislation is to enable Australia's financial sector to maintain international business relationships, detect and prevent money laundering and terrorism financing by meeting the needs of law enforcement agencies and to bring Australia in line with international standards.
Why does this legislation affect First Charter?
After additional regulations (Anti-Money Laundering and Counter-Terrorism Financing Regulations 2008) came into force on 31 January 2008, First Charter Capital Pty Ltd ACN 079 147 809 (FCC) is required to meet stringent investor identification and verification requirements based on a risk based approach. This means that prior to units in any First Charter managed fund being issued, FCC must be ‘reasonably satisfied' that the investor exists and they are who they claim to be.
What do you need to do?
What you need to do for AML/CTF depends on whether you are investing in a fund through a financial advisor, or are investing directly.
If you invest in a fund through a financial advisor then that person or entity will request and collect any verification materials. If you are investing directly, in addition to your fund application form, you need to complete the appropriate identification form depending on the type of entity making the investment.