Speaking at the Basis Point third annual Significant Investor Visa conference, Mr Loh said, “The changes to the SIV-complying investment categories will provide a valuable additional source of funding for emerging listed Australian companies and will promote the growth of this sector.”
The target for the SIV is generally wealthy, Asian investors who are looking to emigrate to Australia, he said.
“Often they have children who have attended or are looking to attend universities in Australia and they are attracted to the lifestyle and opportunity here," Mr Loh said. "The SIV program is a good way for them to understand a more mature and developed investment market and to eventually gain Australian residency.
“With residential property excluded from the categories of complying investment status for SIV investors, it removes the risk that SIV investors will drive up prices in an already hot property market.”
On 1 July 2015, the government changed the SIV investment framework so investors need to invest at least $5 million over four years in three categories of complying investments, which must now include:
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