The alternative, absolute return and hedge fund services provider said the online, interactive system will enable investors and advisers to research and apply for unlisted managed funds.
AFM said Prism Select provides comprehensive information on a range of 14 boutique funds and an online application tool eliminating the paper-based process of applying for managed funds.
The tool will also be useful for fund managers and fund administrators, according to AFM, reducing the “costs of processing applications, including compliance with new anti-money laundering legislation and FOFA changes”.
AFM chief executive Chris Gosselin said the service “includes a number of retail and wholesale funds not available through the mFund service, contains a significantly greater depth of information and detail on each fund and finally provides the ability to apply and deal directly with their chosen fund without having to contact a stockbroker”.
Mr Gosselin said while the launch of mFund in May was a “welcome industry advance”, it is mainly directed at retail investors, with only basic information provided on each fund.
“The investor is then referred to a limited group of five stockbrokers, with which they have to establish an account before placing their order,” he said.
“While it has the convenience of the ASX settlement service, the range of funds remains limited to 12 managers and 44 funds at this stage, while the information on each fund, and its strategy and performance metrics, is minimal.”
AFM said Prism Select also enables users to access each fund’s offer documents and application firms through its online application process, Olivia 123 (online investor verification and interactive applications).
According to AFM, Olivia 123 provides a customised and interactive form for each fund, reducing the time and frustration often experienced by investors when completing paper-based application forms, and “cutting the errors and omissions which often delay the processing of their applications”.
AFM said both Prism Select and Olivia will be rolled out progressively as additional funds are added to the portal.
The portal will also provide “white labelling” and licensing functions for advisers, fund managers and fund administrators, AFM said.
