The Australian Securities and Investments Commission (ASIC) is actively considering tripling the monetary limit for share purchase disclosure relief from the existing $5,000 in any consecutive 12-month period to $15,000.
The move, flagged by the regulator this week, is aimed at providing shareholders with expanded investment opportunities and the “industry with flexible capital raising options, without unduly compromising on investor protection”.
Commenting on the move, ASIC deputy chairman Jeremy Cooper said with many listed entities wanting to raise capital quickly in the current environment, the regulator thought it was appropriate to give retail investors wider scope to participate in new equity issues.
“We say this in light of our well-developed continuous disclosure regime, the confidence with which retail investors access the market in other ways, for example, through direct online brokers, and where the average value of orders placed by retail investors is approaching $15,000 anyway,” he said.
