Discretionary mutual funds

Discretionary mutual funds are entities that offer ‘discretionary cover’, that is, an insurance-like product that may involve an obligation on the fund to consider meeting a claim made on it but gives it a discretion as to whether it will pay the claim.

Religious charitable development funds

Religious charitable development funds are funds established to borrow and use money for religious and charitable purposes. This fundraising activity meets the definition of banking business under the Banking Act 1959 (Banking Act). These funds have historically been exempt from the requirement to be authorised under the Banking Act provided they meet specified conditions set out in the exemption order. The current exemption order is Banking exemption No. 1 of 2021 which commenced on 24 May 2021.

APRA consulted on proposed changes to the exemption order in 2013 and 2016:

Consultation - Banking Act exemptions and section 66 Guidelines

Wholesale funders

Wholesale funders are non-deposit taking institutions that rely primarily on securitisation to fund the provision of loans. Refer to the Financial Sector (Collection of Data) Act 2001 for registration guidelines.

Wholesale funders provide data on a voluntary basis in WRF 320.0 Statement of Financial Position. The Reserve Bank of Australia uses the data to gauge housing lending conditions, assess financial market stability and assist monetary policy setting.

Guidelines on implementation of Section 66 of the Banking Act 1959

This guideline provides general guidance on how APRA interprets and administers this legislation.