Updated: November 2018
This Financial Services Guide (FSG) has been prepared and issued by Morningstar Australasia Pty Limited (“Morningstar”) ABN: 95 090 665 544. Morningstar is a subsidiary of Morningstar, Inc., (NASDAQ: MORN), a leading provider of independent investment research in North America, Europe, Australia, and Asia.
This FSG is designed to provide you with important information to assist you in determining whether to use any of the financial services provided by Morningstar. This FSG will provide you with information about Morningstar and how we can be contacted; what financial services we are authorised to provide to you; how we are remunerated; how we manage conflicts of interest; how we protect your information; and how we manage complaints. We also provide important information you should be aware of in relation to our research reports.
Morningstar Australasia Pty Limited
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Please note that to the extent that any of our publications, ratings, products or services provide advice, this is general financial product advice only. This means that the advice has been prepared without taking into account your investment objectives, financial situation or needs. Before acting on any advice, you should consider the appropriateness of the advice, as well as any additional warnings, disclaimers or qualifications. In the case of advice relating to financial product research, you should also consider the information provided by Morningstaras to the scope of the research, the process by which products are selected for coverage, the filters and research methodology applied, and the spread of ratings. For further information in relation to our research please refer to the Research Report Disclosure section at the end of this document, or the Research Report Disclosure contained within our research reports. Further information can also be obtained at www.morningstar.com/company/disclosures
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Some of our manager research employees participate from time to time in overseas industry forums which product issuers pay to attend, and in relation to which our employee travel and accommodation costs are met by the forum organisers, which in turn charge fees to fund managers about which Morningstar may have published research reports. That is, the benefits are indirectly provided by the product issuers.
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To the extent that any income we receive from product issuers we prepare research on or are rated by us, is in respect of, or attributable to, the services that we provide you, as at the date of this FSG we cannot ascertain the amount that we reasonably expect to receive.
Morningstar may pay external parties who refer clients to us in connection with the financial services to which this FSG relates. The payment could be a single one-off payment or a percentage of the total amount revenue generated by their referral. If you wish to receive further particulars about remuneration and related benefits that we are required to disclose to you, please contact us within a reasonable period of time after you receive this FSG and before any financial service identified in this Guide is provided to you.
Where Morningstar does provide any of the above services to product issuers that are rated by us, all services are provided on an arms-length basis.
Morningstar has an associated business, Morningstar Investment Management Australia, which provides investment management and consulting services.
Morningstar avoids potential conflicts of interest by not undertaking or publishing qualitative analyst research on Morningstar Investment Management’s investment products.
Morningstar avoids potential conflicts of interest by not publishing qualitative analyst research or qualitative ratings on investment products that track a Morningstar Index.
No material interests are held by Morningstar, its staff, or related companies in the financial products that are the subject of our research reports or the product issuer. Generally, analysts are not permitted to hold securities in entities that they rate, subject to specific waivers by the Morningstar, Inc Securities Trading and Disclosure Policy Committee.
Morningstar does not publish qualitative analyst research on any affiliated or related financial product issuers.
Our employees and authorised representatives are guided by our Code of Ethics and our related conflicts of interest policies.
Our employees may from time to time receive nominal gifts/ hospitality from clients and/or product providers. We have strict guidelines in place as to the circumstances and extent to which our employees may accept any such gifts/hospitality.
Morningstar permits financial product issuers to license the right to republish our ratings and research in promotional materials. Licensing negotiations are undertaken by sales employees segregated from research employees. Any licensing agreement takes place after the ratings and research have been completed and published to our clients and the wider marketplace, and the product provider therefore cannot influence the outcomes of our assessments.. Morningstar research staff are remunerated by salary and do not receive any commissions or fees. They may be eligible for an annual bonus which is discretionary and relevant to their role as offered by Morningstar from time to time at its discretion.
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If your complaint is not resolved to your satisfaction you have the right to contact the Australian Financial Complaints Authority (AFCA). AFCA is an external dispute resolution scheme authorised to deal with complaints in relation to the financial services industry. AFCA’s contact details are:
Our Research reports are current as at the date on the report
until it is replaced, updated or withdrawn. Our financial product research may be withdrawn or changed at any time as other information becomes available to us. These reports will be updated if events affecting the report materially change.
For further information as to:
please refer to the Research Overview documents available at: www.morningstar.com/company/disclosures
Morningstar, its staff and associates do not receive any direct benefit from the publication of our research reports. Morningstar does not receive commissions for providing research and does not charge companies to be rated.
Our Equity Research staff use publicly available information, however where Morningstar completes research on initial public offers for credit securities, our Credit Research staff may be provided with non-public information. Morningstar has strict procedures in place in relation to the handling of non-public information.
Reasons for our opinion and recommendation
The opinions and recommendations in our research reports are based on a reasonable assessment by the research staff member who wrote the report on information provided by the
product issuer and generally available in the market. Our researcher staff:
This Publication is a Financial Services Guide for the purposes of section 941A of the Corporations Act 2001 to the extent that the recipient of the services described in this document is a retail client as defined by the Corporations Act 2001; and is issued subject to the laws of the state of NSW and the Commonwealth of Australia and all matters arising from it or its use shall be subject to the exclusive jurisdiction of the Courts of NSW.