The FSC is doing extensive work to help members prepare for the start of the Design and Distribution Obligations (DDO) regime, which begins in October 2021.
Members have been working hard at developing template Target Market Determinations (TMDs). These templates/guidance will help FSC members write TMDs for the products they issue.
ASIC has agreed to review the templates; they have already reviewed and commented on the life insurance templates and will shortly be reviewing the superannuation/platforms templates. Members that base their TMDs on the templates are more likely to meet ASIC’s requirements.
The FSC is offering to license the TMD templates to non-members.
Members are also doing significant work in developing data standards for the DDO, so that product issuers and distributors will have a common data language for communications that are required under the DDO regime. It is envisaged the FSC will license these standards to non-members as well.
The FSC has also hosted a DDO training event and is planning several more in the lead up to the start of the DDO regime in October.