Changes to the Responsible Entity and Service Operator

Effective 30 November 2019, the proposed changes have occured.

IOOF Investment Management Limited ABN 53 006 695 021, AFSL No. 230524 (IIML) has agreed to retire as:

• Responsible Entity (RE) of its managed investment schemes; and
• Service Operator (SO) of its Investor Directed Portfolio Services (IDPS)

and has appointed IOOF Investment Services Ltd, ABN 80 007 350 405 AFSL No. 230703 (IISL) in its place.

Why is the RE and SO changing?

IIML, currently performs multiple roles including the role of Registrable Superannuation Entity (RSE) Licensee or Trustee of several superannuation funds, Responsible Entity of a range of Managed Investment Schemes as well as Service Operator of a number of Investor Directed Portfolio Services.

At the request of the Australian Prudential Regulation Authority (APRA), IOOF has agreed to the separation of its RSE Trustee and Responsible Entity functions, to ensure that conflicts of interest within these areas are managed appropriately and to ensure a more robust governance framework is in place.

We are fully supportive of this change and believe it will be in the best interests of our clients.

To facilitate the separation of dual entities, IIML will retire as RE and proposes to appoint IISL, a licensed related entity within the IOOF group, in its place.

The proposal is considered advantageous to unitholders and investors as it will:

• enable segregated, clear and distinct management, support services and governance oversight of its RE duties and SO functions;
• mitigate conflicts of interest risks that are inherent in a dual-entity model;
• not create any adverse impacts to investors;
• allow for a seamless transition of business – with the same key personnel, systems and resources utilised by IISL to continue to manage the managed investment schemes and IDPS’, as currently in place for IIML.