{"id":"F2021L00300","name":"ASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125","slug":"asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":101413,"registerId":"commonwealth-F2021L00300-current","compilationNumber":null,"startDate":"2026-04-02","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"ASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125","content":"![Commonwealth Coat of Arms and ASIC logo](image.001.png)\n\nASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125\n\nmade under subsections 942B(7A), 942C(7A) and 951B(1) of the Corporations Act 2001\n\nCompilation No. 1\n\nCompilation date: 10 July 2024\n\nIncludes amendments up to: F2024L00864\n\nAbout this compilation\n\nThis compilation\n\nThis is a compilation of the ASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125 that shows the text of the law as amended and in force on 10 July 2024 (the compilation date).\n\nThe notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.\n\nUncommenced amendments\n\nThe effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law.\n\nApplication, saving and transitional provisions for provisions and amendments\n\nIf the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.\n\nModifications\n\nIf the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law.\n\nSelf‑repealing provisions\n\nIf a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.\n\nContents\n\n[Part 1—Preliminary](#_Toc175319776)\n\n[1 Name of legislative instrument](#_Toc175319777)\n\n[3 Authority](#_Toc175319778)\n\n[4 Definitions](#_Toc175319779)\n\n[Part 2—Determination](#_Toc175319780)\n\n[5 Requirements for disclosure of lack of independence in a Financial Services Guide](#_Toc175319781)\n\n[6 Requirements for disclosure of lack of independence in website disclosure information](#_Toc175319782)\n\n[Endnotes](#_Toc175319783)\n\n[Endnote 1—About the endnotes](#_Toc175319784)\n\n[Endnote 2—Abbreviation key](#_Toc175319785)\n\n[Endnote 3—Legislation history](#_Toc175319786)\n\n[Endnote 4—Amendment history](#_Toc175319787)\n\nPart 1—Preliminary\n\n1 Name of legislative instrument\n\nThis is the ASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125.\n\n3 Authority\n\nThis instrument is made under subsections 942B(7A), 942C(7A) and 951B(1) of the Corporations Act 2001.\n\n4 Definitions\n\nIn this instrument:\n\n1.  Act means the Corporations Act 2001\n\nfirst substantive page, in relation to a Financial Services Guide, means the first page of the Financial Services Guide that is not a cover page or a blank page; and\n\n(b) for the avoidance of doubt, a reference to a Financial Services Guide includes a reference to a Supplementary Financial Services Guide.\n\nPart 2—Determination\n\n5 Requirements for disclosure of lack of independence in a Financial Services Guide\n\n(1) The requirements in this section are specified for the purposes of subparagraphs 942B(2)(fa)(iii) and 942C(2)(ga)(iii) of the Act in relation to a statement in a Financial Services Guide that a providing entity is not independent, impartial or unbiased.\n\n(2) The statement:\n\n(a) must appear on the first substantive page of the Financial Services Guide that contains the statement;\n\n(b) must appear within a box under a bold heading that includes the phrase ‘Not Independent”, “Lack of Independence”, or another phrase of like import;\n\n(c) must be in a font size that is at least the same font size as that predominantly used for other text (if any) in the Financial Services Guide; and\n\n(d) must not appear in a footnote.\n\n6 Requirements for disclosure of lack of independence in website disclosure information\n\nPart 7.7 of the Act applies as if the provisions of that Part were modified or varied by:\n\n(a) in section 943J:\n\n(i) after “by the licensee”, inserting “, provided that instead of meeting the requirements referred to in subparagraph 942B(2)(fa)(iii), a statement that would be required by paragraph 942B(2)(fa) must meet the requirements referred to in section 943JA”; and\n\n(ii) after “by the authorised representative”, inserting “, provided that instead of meeting the requirements referred to in subparagraph 942C(2)(ga)(iii), a statement that would be required by paragraph 942C(2)(ga) must meet the requirements referred to in section 943JA”; and\n\n    (b) after section 943J, inserting;\n      “943JA Lack of independence statements to be prominent\n      If this section applies to a statement that forms part of website disclosure information, the statement must:\n\n(a) be in a prominent position; and\n\n(b) appear within a box under a bold heading that includes the phrase “Not Independent”, “Lack of Independence”, or another phrase of like import; and\n\n(c) be in a font size that is at least the same font size as that predominantly used for other text in the website disclosure information; and\n\n(d) not appear in a footnote.”.\n\nEndnotes\n\nEndnote 1—About the endnotes\n\n> Note: The endnotes provide information about this compilation and the compiled law.\n\n> Note: The following endnotes are included in every compilation:\n\n> Note: Endnote 1—About the endnotes\n\n> Note: Endnote 2—Abbreviation key\n\n> Note: Endnote 3—Legislation history\n\n> Note: Endnote 4—Amendment history\n\n> Note: Abbreviation key—Endnote 2\n\n> Note: The abbreviation key sets out abbreviations that may be used in the endnotes.\n\n> Note: Legislation history and amendment history—Endnotes 3 and 4\n\n> Note: Amending laws are annotated in the legislation history and amendment history.\n\n> Note: The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.\n\n> Note: The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.\n\n> Note: Misdescribed amendments\n\n> Note: A misdescribed amendment is an amendment that does not accurately describe how an amendment is to be made. If, despite the misdescription, the amendment can be given effect as intended, then the misdescribed amendment can be incorporated through an editorial change made under section 15V of the Legislation Act 2003.\n\n> Note: If a misdescribed amendment cannot be given effect as intended, the amendment is not incorporated and “(md not incorp)” is added to the amendment history.\n\nEndnote 2—Abbreviation key\n\n| ad = added or inserted                         | orig = original                     |\n| ---------------------------------------------- | ----------------------------------- |\n| am = amended                                   | par = paragraph(s)/subparagraph(s)  |\n| amdt = amendment                               | /sub‑subparagraph(s)                |\n| c = clause(s)                                  | pres = present                      |\n| C[x] = Compilation No. x                       | prev = previous                     |\n| Ch = Chapter(s)                                | (prev…) = previously                |\n| def = definition(s)                            | Pt = Part(s)                        |\n| Dict = Dictionary                              | r = regulation(s)/rule(s)           |\n| disallowed = disallowed by Parliament          | reloc = relocated                   |\n| Div = Division(s)                              | renum = renumbered                  |\n| exp = expires/expired or ceases/ceased to have | rep = repealed                      |\n| Effect                                         | rs = repealed and substituted       |\n| F = Federal Register of Legislation            | s = section(s)/subsection(s)        |\n| gaz = gazette                                  | Sch = Schedule(s)                   |\n| LA = Legislation Act 2003                      | Sdiv = Subdivision(s)               |\n| LIA = Legislative Instruments Act 2003         | SLI = Select Legislative Instrument |\n| (md not incorp) = misdescribed amendment       | SR = Statutory Rules                |\n| cannot be given effect                         | Sub‑Ch = Sub‑Chapter(s)             |\n| mod = modified/modification                    | SubPt = Subpart(s)                  |\n| No. = Number(s)                                | underlining = whole or part not     |\n| o = order(s)                                   | commenced or to be commenced        |\n| Ord = Ordinance                                |                                     |\n\nEndnote 3—Legislation history\n\n| Name                                                                       | Registration                    | Commencement | Application, saving and transitional provisions |\n| -------------------------------------------------------------------------- | ------------------------------- | ------------ | ----------------------------------------------- |\n| ASIC Corporations (Disclosure of Lack of Independence) Instrument 2021/125 | 24 March 2021 (see F2021L00300) | 1/7/2021     | -                                               |\n| ASIC Corporations (Amendment) Instrument 2024/554                          | 5 July 2024 (see F2024LOO864)   | 10/7/2024    | -                                               |\n\nEndnote 4—Amendment history\n\n| Provision affected | How affected                                                                            |\n| ------------------ | --------------------------------------------------------------------------------------- |\n| Section 2          | rep. s48D LA (s48D of the LA repeals a provision that provides solely for commencement) |\n| Section 5          | am. 2024/554                                                                            |\n| Section 6          | ad. 2024/554                                                                            |","sortOrder":0}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":true,"description":"Yes. The instrument was amended by ASIC Corporations (Amendment) Instrument 2024/554 (see Endnotes). Section 5 was amended and a new section 6 (inserting s943JA) was added, extending and formalising equivalent prominence and formatting requirements for website disclosure information in addition to Financial Services Guides."},"complexity_factors":["Cross‑references to multiple Corporations Act provisions (subsecs 942B(7A), 942C(7A), 951B(1); Part 7.7 and s943J) increase drafting and compliance complexity.","Precise visual requirements for FSGs (first substantive page—defined in s4; boxed, bold heading, font sizing, no footnotes) create template and publication burdens (see s5(2)(a)–(d)).","New website rules inserted as s943JA require prominence plus the same boxed/header/font/footnote rules, raising digital‑format and UX interpretation issues (see s6 inserted text 943JA(a)–(d)).","Ambiguous standards—terms like “prominent position” and “phrase of like import”—leave room for interpretive discretion by issuers and ASIC, affecting enforcement risk.","Amendment history (2024/554) altering s5 and adding s6 creates transitional compliance tasks and increases administrative coordination (see Endnotes 3–4)."],"plain_english_summary":"This instrument sets how statements that a provider “is not independent” must be shown in Financial Services Guides and on websites. It requires the statement to appear prominently: on the first substantive page of an FSG, inside a box under a bold heading using “Not Independent” or “Lack of Independence” (or similar), in at least the predominant font size and not in a footnote; website statements must be similarly prominent. It applies to AFS licensees and authorised representatives who prepare FSGs or website disclosure information."},"kimi_summary":{"content_quality":"ok","complexity_score":3,"scope_assessment":{"changed":false,"description":"The instrument remains tightly focused on its original purpose: prescribing the form and manner of non-independence disclosures. The 2024 amendment extended the same formatting requirements to website disclosures (via the modification to section 943J and new section 943JA), but this is a logical extension of the original scope rather than scope creep. It does not regulate new categories of entities or create new substantive obligations beyond presentation standards."},"complexity_factors":["Very short instrument (only 6 operative sections, with Section 2 repealed)","Only 3 defined terms in the interpretation section","Simple conditional logic — essentially 'if you must disclose, disclose like this'","Single cross-reference modification to the Corporations Act (section 943J)","No nested exceptions or complex triggers","Straightforward formatting requirements (font size, boxing, placement) that are prescriptive rather than principles-based"],"plain_english_summary":"This instrument specifies how financial advisers who are not independent must present that fact so clients actually notice it. It requires clear, prominent, boxed notices with bold headings and at least main-text font size in Financial Services Guides and on websites, banning concealment in footnotes.\n\nIt affects non‑independent advisers and their licensees and helps consumers spot potential conflicts of interest by making lack‑of‑independence visually obvious."}},"importantCases":[],"_links":{"self":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125","history":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125/history","analysis":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125/analysis","conflicts":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125/conflicts","importantCases":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125/important-cases","documents":"/api/acts/asic-corporations-disclosure-of-lack-of-independence-instrument-2021-125/documents"}}