Financial regulation


March 20, 2017 7:47 AM | Posted by Batten, Richard | Permalink
December 6, 2016 8:46 PM | Posted by Batten, Richard | Permalink
Our submission to ASIC on Consultation Paper 268 Licensing relief for foreign financial services providers with a limited connection to Australia supports the continued need for both the exemption for wholesale services provided outside Australian (CO 03/824) and the passporting class order relief that ASIC has provided to regulated entities from the US, the UK, Hong Kong, Singapore, Germany and Luxembourg.  Further details can be found in our submission which is available here. read more
November 28, 2016 10:40 AM | Posted by Batten, Richard | Permalink
The Report of the inquiry into the Big 4 banks in Australia has raised concerns with the banks' market dominance and their use of market power and made 10 recommendations, some of which will have an impact beyond the banks. read more
September 13, 2016 6:37 PM | Posted by Batten, Richard | Permalink
ASIC’s recently released review of add-on insurance demonstrates the types of considerations ASIC believes to be relevant when judging whether products are suitable for consumers and represent an early indication of the likely impact of the proposed product design and distribution duty and the product intervention powers recommended by the FSI. read more
May 9, 2016 5:17 PM | Posted by Batten, Richard | Permalink
The Assistant Treasurer has announced a number of initiatives ahead of the calling of the Federal election, including the appointment of a panel to review the external dispute resolution and complaints framework. read more
March 24, 2016 5:30 PM | Posted by Richard Batten and Justin Locke | Permalink
ASIC has made some important observations about conflicts management practices in the funds management sector which have broad relevance not confined to fund managers. read more
October 23, 2015 9:37 AM | Posted by Batten, Richard | Permalink
The release of the Government's response to the Murray Inquiry provides a roadmap for regulatory action affecting the sector over coming years and much needed certainty for industry. read more
October 20, 2015 8:29 AM | Posted by Batten, Richard | Permalink
The Government has released its response to the Financial System Inquiry's Final Report which includes specific measures which the Government plans to implement before the election and beyond. read more
October 12, 2015 12:40 PM | Posted by Batten, Richard | Permalink
The Governance Institute of Australia has raised concerns about the Government's consultation on the industry levy for ASIC.  Particular concerns relate to the one-size fits all approach taken in the consultation paper and the lack of alternative methods for calculating the levy and the failure to promote or recognise companies which adopt a prudent approach to managing risk and reduce the level of regulatory supervision required by ASIC. read more
September 22, 2015 2:48 PM | Posted by Batten, Richard | Permalink
ASIC says that organisations need to reflect on how their culture could lead to unfair treatment of investors and consumers. read more
August 28, 2015 11:56 AM | Posted by Batten, Richard | Permalink
The Government is consulting on whether to introduce a new industry funding model for ASIC as recommended by the Financial System Inquiry. read more
July 30, 2015 4:15 PM | Posted by Pinar Ozer | Permalink
ASIC announced yesterday that it will now use its power to recover expenses and costs of its investigations.   read more
February 20, 2015 2:20 PM | Posted by Batten, Richard | Permalink
A new year brings new regulation with the making of the Corporations Amendment (Register of Relevant Providers) Regulation 2015 which commences on 9 March 2015, following recommendations of the Senate Economic References Committee and the Financial System Inquiry. read more
February 10, 2015 2:22 PM | Posted by Pinar Ozer | Permalink

When it comes to financial advice, the message from the final report is clear: raise the quality of advisers and the quality of advice.

In this month's IFA Magazine, we discuss the key implications for advisers. Click here to read the full article!

read more
December 16, 2014 9:35 AM | Posted by Paul Schoff, Eric White | Permalink
In commenting on the design of Australia's superannuation system, the Inquiry draws on Chilean experience. Regrettably and perhaps unwittingly, the Inquiry also seems to have drawn on the early 1970s Chilean socialist experiments with Big Data in developing its thoughts and recommendations around access and use of private sector data. read more
December 11, 2014 3:14 PM | Posted by Richard Batten | Permalink
Recommendations in the final FSI report propose new duties for issuers and distributors of financial products relating to the design and method of distribution of products. read more
December 8, 2014 5:59 PM | Posted by Richard Batten, Stuart Johnson | Permalink
The Final Report of the Financial System Inquiry was released on the weekend. Here, we discuss key points arising from the Report and Mr Murray's speech to CEDA. read more
September 4, 2014 4:40 PM | Posted by Richard Batten | Permalink
The FSI Interim report discussed a broad range of issues affecting the industry, and gives serious consideration to the differing concerns of stakeholders. Our submission explores a number of questions raised by the report, and identifies other issues which we believe that the Inquiry should consider. read more
July 16, 2014 2:42 PM | Posted by Richard Batten | Permalink
An area of real concern raised in the Interim Report is about the effectiveness of disclosure in enabling consumers to make decisions. The report indicates that the current disclosure regime is not effectively serving consumers. read more
July 16, 2014 2:37 PM | Posted by Richard Batten | Permalink
The release of the interim FSI report identifies some significant areas where changes to the system need consideration. The key touchstones of the Inquiry for assessing the performance of the financial system and its regulatory structure are efficiency, stability and fairness. read more
July 16, 2014 8:54 AM | Posted by Harry Aitken | Permalink
Technology is having a dramatic influence on the state of the Australian financial system. Developments in consumer forums, data collection methods, transactional mechanisms and cloud technology have spawned new products, services and market entrants. read more
July 15, 2014 3:32 PM | Posted by Payne, Karen | Permalink

The Financial System Inquiry Interim Report (the Report) has identified taxation as one of three main sources of distortions which hamper the operation of price mechanisms that would otherwise promote an efficient allocation of funding and risk (the other two being regulation and market imperfections).

The Report is somewhat restrained in its comments on specific tax reforms, and defers to the Tax White Paper due out in 2015.  However it does make comment on the need to retain dividend imputation.  The Report suggests that the case for retaining dividend imputation is now less clear than it was in the past and may act as a subsidy to domestic equity. However, some tax distortions are intentional and by design and provide intended integity benefits, which will need to be considered and weighed against any potential adverse distortions.  These issues are sensible to defer to the Tax White Paper ...

read more
July 9, 2014 4:08 PM | Posted by Ellicott, Thomas | Permalink
Our current Twin Peaks model relies heavily on the capacity of ASIC and APRA to manage systemic risks facing the financial sector, but is this approach sufficient? Indeed, one question that should be a central focus of the FSI is how we can best structure our regulatory framework to navigate macro-scale risks. read more
July 7, 2014 9:09 AM | Posted by Gillian Brown, Melanie Wong | Permalink
One issue that the Inquiry will report on is the role and impact of new technologies, market innovations, and changing consumer preferences and demography on the financial system. read more
May 1, 2014 1:15 PM | Posted by Batten, Richard | Permalink

I attended a very interesting panel discussion on the Inquiry last night which covered a number of issues, including:

  • cost of superannuation and investment in infrastructure
  • responding to the GFC
  • addressing the cost of regulation.
read more
March 14, 2014 1:00 PM | Posted by Richard Batten, Tim Sutton | Permalink
It's been 17 years since Australia's last inquiry into its financial system. A lot has changed since the Wallis Report in 1997. Why the need for a new inquiry? What has changed since Wallis made his recommendations? read more