Other cases of foreign assets held throuOther cases of foreign assets held through intermediate entities

Other cases of foreign assets held through intermediate entities

37. Where:

(a) but for this paragraph, an asset would be treated as an asset in Australia of an insurer;

(b) that asset relates to an interest (underlying interest) that is held through one or more interposed entities (including, without limitation, trusts or companies, or a combination thereof); and

(c) the underlying interest would not be an asset in Australia (either because it would be excluded under another provision of this Prudential Standard or because it would not otherwise be an asset in Australia within the meaning of paragraph 28(a) of the Act) if the underlying interest were held directly by the insurer (or, in the case of a Category C insurer, if held directly by the Category C insurer’s custodian or agent in Australia)

then APRA may, having regard to the risk that the proceeds of the underlying interest may not be available in a winding up of the insurer in Australia, determine, in writing, that the amount is excluded from being an asset in Australia.

Adjustments and exclusions

38. APRA may, by notice in writing to an insurer, adjust or exclude a specific requirement in this Prudential Standard in relation to that insurer.

Determinations made under previous prudential standards

39. An exercise of APRA’s discretion (such as an approval, waiver or direction) under a previous version of this Prudential Standard continues to have effect as though exercised pursuant to a corresponding power (if any) exercisable by APRA under this Prudential Standard. For the purposes of this paragraph, ‘a previous version of this Prudential Standard’ includes:

(a) Prudential Standard GPS 120 Assets in Australia (GPS 120) made on 18 June 2010;

(b) GPS 120 made on 23 June 2008; and

(c) GPS 120 made on 25 September 2006.