The new framework for the Significant Investor (SIV) and Premium Investor (PIV) programmes has now been implemented and is effective from 1 July 2015. The SIV programme provides the opportunity for foreign persons to obtain an Australian visa by investing at least AUD$5 million over four years in complying Australian investments.
Norton Rose Fulbright is a leading commercial law firm with experience advising local and foreign investors on investment into Australian real estate, venture capital, private equity, agriculture and other investment opportunities, as well as assisting fund managers in the development of a range of investment products and structures.
The firm has a strong track record as a strategic legal advisor to fund managers involved in the development of investment products offered to migrant investors. Reflecting the firm’s reputation, Norton Rose Fulbright has been at the forefront of consultations with government and industry stakeholders leading to the development of the new SIV regime. The firm is advising fund managers on modifications to their existing products to maintain compliance, as well as assisting with the launch of a range of funds, including venture funds and emerging/small companies funds.
Mandated Australian portfolio for SIV migrant investor
Migrant investor applicants must invest a minimum A$5 million in the following investment products:
Click here to view table.
Any remaining portion of the A$5 million may be invested in one or more ‘balancing’ investments:
Click here to view table.
Fast track approach for premium investors under the PIV regime
The Premium Investor Visa programme (PIV) framework is targeting talented entrepreneurs and innovators and offers a 12 month pathway to permanent residency. A migrant must invest A$15 million and will access the regime upon invitation of the Australian Government. Austrade will make nominations on approved criteria based on entrepreneurial skill or talent and ongoing benefit to Australia, and subject to character and integrity checks.
A migrant needs to make an investment by direct investment or investment in an Australian managed fund(s) that invests in one of more of the following:
- ASX listed assets;
- Australia government or semi-government bonds or notes;
- Corporate bonds or notes issued by an ASX listed entity (or wholly owned subsidiary of the Australian listed entity) or investment grade rated Australian corporate bonds or notes rated by an AFC licensed debt rating agency;
- Australian proprietary listed companies;
- Real property in Australia excluding residential property;
- Deferred annuities issued by Australia registered life companies; and
- Approved philanthropic donation.
A philanthropic contribution or a combined investment and a philanthropic contribution by an investor is considered a complying premium investment, if all of the requirements of the Regulations are met. As the term ‘philanthropic contribution’ is not defined, it gives the government the flexibility to determine what constitutes such a contribution for the purpose of the Migration Regulations.