ASIC has (again) flagged that it will be amending the transitional arrangements in the ASIC Corporations (Disclosure of Fees and Costs) Instrument 2019/1070 (Instrument) on its superannuation fund COVID-19 FAQ page: ASIC will be amending the transitional arrangements for Product Disclosure Statements (PDSs) shortly to allow entities to come into the new disclosure regime from … Read more
By Fiona Smedley and David Curley ASIC has released Consultation Paper 325 Product design and distribution obligations (CP 325), on its proposals for guidance on the design and distribution obligations in Pt 7.8A of the Corporations Act 2001 (Cth) (DDO). ASIC is seeking public input on CP 325 by 11 March 2020 with a view to releasing … Read more
Consumer credit providers in Australia have been eagerly awaiting ASIC’s updated regulatory guide on the responsible lending laws (RG 209), which landed on 9 December 2019 and is another significant development in the understanding of these laws. Read more
By Philip Hopley The Australian regulatory financial services sector has certainly been giving props to Greek philosophy of late with its channelling of Heraclitus’ statement that “there is nothing permanent except change.” Now that the dedicated insurance hearings at the Royal Commission have finished, here is a snapshot of the current legislative and regulatory plans for … Read more
By Philip Hopley The federal government has just released for public consultation a second exposure draft of the legislation that will introduce financial product design and distribution obligations into the Corporations Act and give ASIC new enforcement powers, which includes the issuing of stop orders. Having considered the submissions provided on the first draft of exposure legislation … Read more
The RBA has recently set out its views that “Most of the regulation set for financial institutions is aimed at the stability of financial institutions….If some of these companies get big enough there will be systemic issues." This is moderately inconsistent with APRA’s latest move, expanding its policy to restricted ADI licences to foster innovation and competition in the banking industry. Australia needs clear guidance and regulatory support to avoid pushing away financial services innovation. Read more
Written by the one and only Michael Vrisakis Yesterday’s Financial Review contained an article by James Eyers (page 22) which touched on what we will call “Cyborg Advice”; that is hybrid advice involving man and machine. The article notes that developments such as open banking and broader “customer data rights” are likely to push advice … Read more
What this means for you Initial Coin Offering (ICO) issuers have been placed on notice that from 19 April 2018, the Australian Competition and Consumer Commission (ACCC) has delegated powers to the Australian Securities and Investments Commission (ASIC) to enable ASIC to take action under the Australian Consumer Law (ACL) relating to crypto-assets. See ASIC’s … Read more
