ASIC Corporations (Generic Calculators) Instrument 2026/41

Explanatory Statement

ASIC Corporations (Generic Calculators) Instrument 2026/41

This is the Explanatory Statement for ASIC Corporations (Generic Calculators) Instrument 2026/41.

The Explanatory Statement is approved by the Australian Securities and Investments Commission (ASIC).

Summary

1.       The ASIC Corporations (Generic Calculators) Instrument 2026/41 (Instrument) continues the relief previously provided under ASIC Corporations (Generic Calculators) 2016/207 (ASIC Instrument 2016/207) which is due to sunset on 1 April 2026.
2.       The Instrument gives providers of generic financial calculators, other than superannuation calculators:
   1.        relief from the requirement to hold an Australian financial services (AFS) licence with an advice authorisation; and
   2.       where they currently hold a licence, relief from the conduct and disclosure requirements in Divisions 2, 3 and 4 of Part 7.7 of the Corporations Act 2001 (Corporations Act) in relation to that advice.
3.       The exemptions are subject to various requirements and conditions.   

Purpose of the instrument

1.       The purpose of the Instrument is to facilitate the cost-effective provision of useful information about financial products and services to consumers through generic financial calculators. They can help consumers better understand their financial circumstances and goals. 
2.       A generic financial calculator is a facility, device, table or other thing that:
   1.        is used to make a general numerical calculation or find out the result of a numerical calculation about a financial product; and
   2.       does not advertise or promote one or more specific financial products.
3.       A generic financial calculator involves financial product advice if it produces recommendations or statements of opinion that are (or could reasonably be regarded as being) intended to influence the user in making a decision about a financial product or class of financial product: see s766B of the Corporations Act.
4.       Personal advice is financial product advice that is given or directed to a person (including by electronic means) in circumstances where:
   1.        the provider of the advice has considered one or more of the client’s objectives, financial situation and needs; or
   2.       a reasonable person might expect the provider of the advice to have considered one or more of those matters (see s766B(3) of the Corporations Act).
5.       Whether a particular calculator involves financial product advice and whether the financial product advice is likely to be personal advice will depend on the facts of the particular case.
6.       Without the relief in the Instrument the provider of a generic financial calculator that provides financial product advice: 
   1.        will be subject to the AFS licensing, conduct and disclosure obligations in Chapter 7 of the Corporations Act; and 
   2.       must comply with the requirements in Division 3 of Part 7.7 and Division 2 of Part 7.7A of the Corporations Act if the generic financial calculator provides personal advice to retail clients. 
7.   The imposition of these regulatory requirements and/or the uncertainty about their application may inhibit the provision of generic financial calculators, particularly because these calculators are often provided free of charge.  
8.   The relief in the Instrument is granted to provide legal certainty. 
9.   The Instrument also repeals ASIC Instrument 2016/207 which is due to sunset on 1 April 2026.

Consultation

1.   On 3 November 2025, ASIC published CS 34 Proposed remake of generic financial calculators instrument seeking feedback on its proposal to remake the relief in ASIC Instrument 2016/207 with minor changes. The consultation included a draft of the new instrument for feedback.
2.   ASIC did not receive any responses to its consultation.

Operation of the instrument

1.   The Instrument gives providers of generic financial calculators relief from the requirement to hold an AFS licence with an advice authorisation or, where they currently hold a licence, relief from the conduct and disclosure requirements in Divisions 2,3 and 4 of Part 7.7 of the Corporations Act in relation to that advice.
2.   Section 2 of the Instrument provides that it commences on the day after it is registered on the Federal Register of Legislation. 
3.   Section 5 of the Instrument provides a simplified outline for the instrument. Its purpose is to assist readers in understanding the substantive provisions. However, the outline is not intended to be comprehensive, and readers should rely on the substantive provisions when considering the instrument’s effect. 
4.   Section 7(1) of the Instrument provides exemptions for a person providing financial product advice through a financial calculator from the requirement in subsection 911A(1) to hold a AFS license for that advice or, where the person is a financial services licensee, Divisions 2, 3 and 4 of Part 7.7 of the Corporations Act.
5.   Section 7(2) of the Instrument specifies that the exemption under this Instrument does not apply if 30 days have elapsed since a person knew, or was reckless to whether there are reasonable grounds to believe, that they failed to comply with a condition of the Instrument (other than in an immaterial respect) and that failure was not notified to ASIC.
6.   Section 8 of the Instrument outlines the reasonable steps that providers of generic financial calculators must take to rely on the exemptions available under the Instrument. These include taking reasonable steps to ensure:
   1.        the financial calculator does not advertise or promote a specific financial product;
   2.       if the financial calculator is an electronic facility or device, the financial calculator enables the user to change any of the assumptions (default assumptions) other than a statutory assumption;
   3.        the default assumptions, including any statutory assumptions, applied by the financial calculator, unless changed by the user, are reasonable for the purposes of working out the estimate;
   4.       the financial calculator displays to the user (including because of a step taken by the user) or has printed on it an explanation of why the default assumptions, including any statutory assumption, are reasonable for the purpose of working out the estimate;
   5.        the financial calculator displays to the user in the ordinary course of its use or has printed on it all of the following:
      1.       a clear and prominent statement about the purpose and limitations of the calculator;
      2.       a clear and prominent explanation of the impact of any significant limitation of the calculator;
      3.       a clear and prominent statement of the assumptions;
      4.       where the estimate is of an amount payable at a future time of 2 or more years, a clear and prominent statement setting out the present value of the estimate;
      5.       a clear and prominent statement to the effect that the financial calculator is not intended to be relied on for the purposes of making a decision in relation to a financial product and that they should consider obtaining advice from a financial services licensee before making any financial decisions;
   6.         if the financial calculator is an electronic facility or device—the financial calculator does not prevent the user from readily printing or electronically storing the estimate;
   7.       the person keeps a copy of the financial calculator for 7 years from when it is first made available.
7.   Schedule 1 of the Instrument repeals ASIC Instrument 2016/207.

Legislative instrument and primary legislation 

1.   The Instrument provides relief in circumstances where strict compliance with the primary legislation produces anomalous outcomes that would be inconsistent with the intent of the primary law.
2.   If the matters in the Instrument were to be inserted into the primary legislation, they would insert, into an already complex statutory framework, a set of specific provisions that would apply only to a relatively small group of entities. This would result in additional cost and unnecessary complexity for other users of the primary legislation.
3.   It will be a matter for the Government and for Parliament to consider whether the primary legislation may need to be amended in the future to include the substance of the relief in the Instrument in legislation.

Duration of the instrument

1.   The duration of the Instrument is 5 years. It will be repealed on 1 April 2031.

Legislative authority

1.   This Instrument is made under subsections 926A(2)(a) and 951B(1)(a) of the Corporations Act.
2.   This Instrument is a disallowable legislative instrument.

Statement of Compatibility with Human Rights 

1.   The Explanatory Statement for a disallowable legislative instrument must contain a Statement of Compatibility with Human Rights under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011. A Statement of Compatibility with Human Rights is in the Attachment.

Attachment

Statement of Compatibility with Human Rights

This Statement of Compatibility with Human Rights is prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.  

ASIC Corporations (Generic Calculators) Instrument 2026/41

Overview

1.              This instrument gives relief from AFS licensing, conduct, and disclosure requirements in Chapter 7 of the Corporations Act for providers of generic financial calculators that meet various requirements and  conditions.
    
2.              The purpose of this relief is to facilitate the cost-effective provision of useful information about financial outcomes about different financial products and services to consumers through generic financial calculators.

Assessment of human rights implications

2. This instrument does not engage any of the applicable rights or freedoms.

Conclusion

3. This instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.