Following industry consultation on Consultation Paper 155
(CP 155) which was published by ASIC on 12 April
2011, ASIC released its finalised guidance on prospectus disclosure
in the form of Regulatory Guide 228 (RG 228) on 10
November 2011.
RG 228 is generally consistent with CP 155, although RG 228
contains some clarifications on issues raised by respondents during
the consultation process. RG 228 has also, in some areas,
moved from prescriptive guidance to a more general, flexible
approach.
Key areas of guidance
The following is a summary of the key areas of guidance in RG
228:
Clear, concise and effective - ASIC has
retained its guidance on how prospectuses can be worded and
presented in a 'clear, concise and effective' manner.
However, it has clarified that the suggested tools and methods for
creating 'clear, concise and effective' documents are not
mandatory, but may be useful in ensuring the document is not
misleading.
