"give" 5 We submit that the definition of give should be amended to make it clearer that it covers delivery of a PDF and other electronic delivery modes, such as a hyperlink to a known email address. It should also be "future proofed" to allow for the emergence of new delivery mechanisms.
6 This would easily be achieved by the following amendments to the definition:
6.1 adopting the concept set out in section 422(3) – which allows a disclosure statement to be provided to a recipient's last known address (including electronic addresses)
6.2 expanding the current reference to recipients readily storing the document or information to also contemplate recipients being provided with an electronic address that allows ongoing access to the document (for example from a website or other centralised electronic source)
6.3 expanding the definition to allow further modes of delivery to be prescribed in regulations.
"governing document" 7 Paragraph (a) should be expanded to include "or (in the case of redeemable shares) the constitution or terms of issue governing the terms of such shares". This amendment would recognise that the usual document governing redeemable shares is a company's constitution or terms of issue, not a trust deed.
"insolvent" 8 Paragraph (b) should be amended (to remove redundancy) to prescribe simply that:
"in relation to a registered scheme that is a defined benefit scheme, the value of the assets in the scheme is less than the value of the vested benefit liabilities".
Follow-on offers in managed investment schemes should be treated the same as superannuation and KiwiSaver schemes 9 As noted in our submission on the Exposure Draft, we support the confirmation (in section 10(2)(c)) of the prevailing view that further contributions to a superannuation or KiwiSaver scheme do not constitute a fresh "issue" of a financial product.
10 We note the provision for recognition of an "other prescribed scheme" but see no policy reason why this concept should not be extended within the Bill itself to followon contributions to other types of continuously offered managed investment schemes. This is because: