Part 4: What information must be disclosed to Prospective Investors in a PDS?

4.1 Summary

This part deals with the statutory provisions and the terms of the ASIC Instrument that require the promoter of an “offer of interests” in a horse racing scheme to disclose to prospective investors who are “retail clients”, all key information about the product on offer that is reasonably required by prospective investors to enable them to make an informed decision whether to invest.

Conclusion

Under the Act, both the nature of the key information about the product that MUST be disclosed to prospective investors who are “retail clients”, and the format in which that information MUST be set out in a PDS is prescribed.

Under the ASIC Instrument, the nature of the key information about the product that MUST be disclosed to prospective investors in a PDS approved by a lead regulator is prescribed.