The Australian Securities and Investments Commission (ASIC) said Thursday that it has issued three infringement notices to Equity Trustees Limited, alleging misleading statements regarding the investment strategy of the Artesian Green and Sustainable Bond Fund.
Australian Regulator ASIC Issues Infringement Notices for Equity Trustees Limited
The regulator says that between April and November 2024, the fund’s product disclosure statement, target market determination and website claimed it invested in green, sustainable and social corporate bonds.
However, ASIC stated that the fund held exposure to government and supranational bonds during this period, assets inconsistent with its declared strategy focused on corporate issuers.
Equity Trustees, the responsible entity for the fund, paid $56,340 on 13 June 2025 to comply with the notices.
ASIC noted that payment of the notices does not constitute an admission of guilt or liability.
“A responsible entity must have measures in place for ensuring it complies with its obligations as an AFS licensee,” said ASIC Deputy Chair Sarah Court. “These include having adequate governance controls and procedures to ensure that disclosures made in relation to investments by managed investment schemes are accurate and are not misleading.”
Court added that the action should serve as a warning to other trustees to uphold robust investment governance standards.
The infringement notices, including ASIC’s reasons for concern, have been published on the Credit and ASIC Act infringement notices register.
Managed investment schemes currently hold around $2.7 trillion in assets in Australia.
