11Trustees, managers etc. of investment funds

11 Trustees, managers etc. of investment funds

(1) An interest in a share is an interest of a prescribed kind if: (a) the interest exists solely as a result of an action taken by the interest‑holder in relation to an investment fund: (i) in the interest‑holder’s capacity as trustee or manager of the fund; or (ii) in the case of a statutory fund within the meaning of the Life Insurance Act 1995—in the interest‑holder’s capacity as the life insurance company administering the fund; or (ii) because the interest‑holder has a custodial responsibility of another kind in relation to the fund; and (b) the interest‑holder is a person mentioned in subsection (2). (2) The interest‑holder is a prescribed person if the investment fund in relation to which the person has a function mentioned in subparagraph (1)(a) (i), (ii) or (iii) is a substantially Australian investment fund. (3) For the purposes of subsection (2), a substantially Australian investment fund is an investment fund that, in the reasonable opinion of the interest‑holder, is a fund in which: (a) in the case of a life insurance company, in its administration of a statutory fund within the meaning of the Life Insurance Act 1995—no more than 40% of policyholder liabilities of the statutory fund are owed to foreign persons; and (b) in any other case—a beneficial interest in less than 40% of the capital, and 40% of the income for distribution, is held by foreign persons.