Quoting investment products

ASX has introduced a new flexible market service to facilitate the quotation, trading, clearing and settlement of a wider range of products on ASX. This new service has been tailored to the requirements of fund managers and investment banks enabling them to quote exchange-traded funds (ETFs), structured products and other innovative product structures that were not readily accommodated by the previous ASX Listing Rules and systems.

A new Rules framework, called the AQUA Rules, supports the quotation of these products and expand the range of ASX services beyond equities, A-REITS (listed property trusts), listed investment companies and warrants, all of which are listed under either the ASX Listing Rules or the ASX Warrant Rules. 

Benefits of quoting on ASX

The new service offers a number of potential benefits to product issuers including:

  • Increased price and product distribution
  • Increased visibility
  • Growth of funds under management
  • Greater administration efficiency
  • New customer markets opened
  • A simple solution for international funds to quote on ASX with a local issuer acting as a sponsor
  • ASX quotation as a distribution channel
  • Increased profile and prestige through use of the Traded on ASX emblem

What are the steps involved?

The quoting process for product issuers happens in 2 stages:

  1. Approval of the Issuer
    The entity nominated as the issuer of the product must apply to ASX to be an Approved Issuer.
  2. Approval of the Product
    Under the Corporations Act an issuer (or the sponsor) is required to complete a Product Disclosure Statement (PDS) in respect of products issued in Australia.

How long does it take?

A key advantage of the new Rules framework is the short turnaround between submission and quotation.  

Depending on the complexity of the product and the familiarity ASX has with the product issuer, initial quotations are expected to take between three weeks and three months, with future similar products being quoted within one week.

How much does it cost?

The new Rules framework provides a cost effective solution for the product issuer.

What products can be quoted?

The key feature of products quoted under the AQUA Rules is that their value is determined from other assets such as a share, index, foreign or Australian currency or commodity.

In general, there are 3 broad categories of product that can be quoted in this way:

The AQUA Rules provide further details of the definitions of products which can be quoted.

Who can quote products? 

The range of issuers eligible to quote products under the new Rules depends on the type of product in question.

Banks and other large, well capitalised and regulated organisations are able to quote all of the products that meet the definitions in the new Rules and that ASX agrees to quote.

Responsible Entities (REs) of managed funds, ASX listed entities and other organisations accepted by ASX a subset of the full range.

More information on who can quote products can be found in the Rules.

Useful links

Publications

AQUA press coverage

Exchange of the Year 2007

ASX was awarded Exchange of the Year by Structured Products Asia, in acknowledgement of the "consistent innovation and breadth of initiatives it has brought to the market."

Contact us

If you would like more information about listing an investment product on ASX please contact:

Annmaree Varelas
Manager
Funds, Warrants & Structured Products

Ph: + 61 2 9227 0318
Email: annmaree.varelas@asx.com.au