Automatic Enrolment Retirement Savings System Act 2024 section 71

Power to provide for selection of more than one risk level

Section 71 empowers the Minister to make regulations allowing participants to split their contributions across different investment risk levels, subject to prior assessment and independent recommendation.

• The Minister may make regulations permitting a participant to select different risk levels for different portions of their contributions, rather than applying a single risk level to all contributions.
• Before making such regulations, the Minister must request the Authority to carry out an assessment of how the existing investment framework under this Part is operating in practice.
• Regulations may only be made if recommended both by the Authority (following its assessment) and by one or more independent persons appointed by the Minister to consider the matter.
• In addition to those recommendations, the Minister must be personally satisfied that making the regulations is in the interests of participants before proceeding.