As one of Australia’s largest Significant Investor Visa (SIV) fund managers, MA Financial Group helped pioneer the program, working closely with Australian federal and state governments. Forming part of our Asset Management division, our specialist SIV team spans Sydney, Melbourne and Shanghai, offering a range of solutions to high-net-worth investors.
The SIV program
The Significant Investor Visa was introduced by the Australian Government in 2012 as a way to boost the economy, and drive innovation by attracting high-net-worth individuals from other countries seeking permanent residency in Australia.
SIV is a stream within the Australian Government's Business Innovation and Investment (Provisional) (Subclass 188) visa, and the Business Innovation and Investment (Permanent) (Subclass 888) visa.
SIV Investment Rules
The SIV complying investment rules were changed by the Australian Government in July 2015. MA Financial Group offers funds that comply with the SIV complying investment rules both before and after 1 July 2015.
Prior to being eligible to apply for a permanent visa, SIV holders are required to invest at least $5 million into complying investments for a minimum of four years. These investments must include:
- At least A$500,000 in eligible Australian venture capital or growth private equity (VCPE) fund(s) investing in start-up and small private companies;
- At least A$1,500,000 in an eligible managed fund that invests in emerging companies;
- A 'balancing investment' of up to A$3,000,000 in managed funds that invest in a combination of eligible assets, including Australian listed securities, eligible corporate bonds or notes, annuities and real property (subject to the 10% limit on residential real estate).
A summary of the complying investment framework is available on Austrade.
SIV Complying Funds
The following funds have been designed specifically for SIV investors, with a focus on SIV compliance and capital security.
The SIV complying investment rules require a mandatory minimum investment of at least 10% ($500,000) into a venture capital or private equity fund. MA Financial Group offers an unconditionally registered Australian-domiciled Venture Capital Limited Partnership (VCLP), designed specifically for SIV investors. The VC Fund targets Australian-based private companies (unlisted) across a range of industries, including agriculture, technology, food, health, education and tourism.
A mandatory minimum investment of at least 30% ($1.5 million) is required in a managed fund that invests in Australian Emerging Companies (‘Small Caps’). Investments must focus on ASX-listed companies that have a market capitalisation of less than $500 million, however a maximum of 20% can be invested in Australian unlisted companies. MA Financial Group offers a Small Caps Fund designed specifically for SIV investors.
For the balancing component of the SIV complying investment framework (60% or $3 million), MA Financial Group offers a range of investment options, including commercial property, corporate bonds and listed equities.