For the purpose of assessing the price of a financial product, or the value of a financial product to which a financial service relates, under paragraph 761G(7)(a) of the Act, superannuation - sourced money is not to be counted if:
(a) the financial service provided to a person is:
(i) financial product advice; or
(ii) if the person was a retail client--the provision of a financial product in circumstances in which a Product Disclosure Statement would need to be given to the client under Part 7.9 of the Act (including section 1012A, 1012B, 1012C or 1012IA); and
(b) the financial product to which the financial service relates is a product other than a non - cash payment financial product; and
(c) the person who was the holder of the relevant superannuation interest in the regulated superannuation fund was or would have been a retail client under subsection 761G(6) of the Act if they had held or acquired the product after FSR commencement.
Example: If:
(a) the price for an income stream financial product or an investment - based financial product is $700 000; and
(b) the client uses $400 000 of superannuation - sourced money and $300 000 of other funds;
then, unless the client is a wholesale client for another reason, the client will be a retail client due to the operation of paragraph 761G(7)(a) of the Act.
Note: Under subsections 761G(5), (6) and (7) of the Act, general insurance products, superannuation products and RSAs are not financial products to which the restriction on counting superannuation - sourced money towards the price applies. This applies in addition to the exclusion for non - cash payment products under paragraph (b) of this regulation.