Licensing and professional registration activities: 2021 update

From

ASIC’s Licensing and professional registration activities: 2021 update (Report 700) outlines key issues, new and proposed changes to our licensing processes, and other work we have undertaken that affects licensees. Between July 2020 and June 2021, ASIC received 1,883 Australian financial services licence (AFSL) and Australian credit licence (ACL) applications (a significant increase from 1,346 the

continue reading

ASIC publishes guidance on breach reporting

From

ASIC has released regulatory guidance to help credit and Australian Financial Services (AFS) licensees to meet new breach reporting obligations. Set to commence on 1 October 2021, the breach reporting reforms address long-standing concerns about breach reporting by making the reporting consistent, clearer and timely across the industry. ASIC Deputy Chair Karen Chester said, ‘The

continue reading

Check on superannuation trustee preparedness for new IDR requirements finds more work required

From

A recent ASIC survey of registrable superannuation entities (trustees) about their preparedness for the new enforceable internal dispute resolution (IDR) obligations has identified some important areas requiring further work. Following the survey, ASIC engaged with individual trustees to understand in more detail the steps taken in their preparation. ASIC undertook this work to assist trustees

continue reading

ASIC publishes Corporate Plan 2021-25

From

ASIC’s Corporate Plan 2021-25[1] outlines our priorities over the next four years to achieve a fair, strong and efficient financial system for all Australians. The Corporate Plan is consistent with ASIC’s new Statement of Intent[2] released last week in response to the Australian Government’s Statement of Expectations[3]. ASIC Chair Joe Longo said, ‘ASIC has an important

continue reading

ASIC’s approach to new laws reforming financial services sector

From

Six reforms arising out of recommendations from the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry (Royal Commission) and other inquiries will commence in October. The new laws include design and distribution obligations, restrictions on the unsolicited selling of financial products (hawking), a deferred sales model for add-on insurance products, reference

continue reading

ASIC releases guidance and customer information requirements to implement the new add-on insurance deferred sales model

From

ASIC has released a new regulatory guide and final customer information requirements as part of its work to implement the new deferred sales model for add-on insurance (RG 275). The deferred sales model introduces a mandatory four-day pause between the sale of a principal product or service and the sale of add-on insurance. The deferred

continue reading

ASIC review finds retail managed funds responded well to COVID-19 challenges in 2020

From

An ASIC review of a targeted selection of retail managed funds found that they did not face serious investor liquidity challenges during the height of COVID-19 market disruption, and that their liquidity frameworks were generally adequate. While there was a significant drop in net investor cashflow in the first half of 2020, responsible entities of

continue reading

ASIC Commission welcomes appointment of new Chair and Deputy Chair

From

“On behalf of the ASIC Commission and team I’d like to congratulate Joe Longo on his appointment as the next ASIC Chair and Sarah Court as an additional Deputy Chair”, siad ASIC Chair James Shipton. Joe is known to many at the agency from his time as National Director of Enforcement from 1996-2000 and subsequent

continue reading

ASIC extends temporary financial advice relief measure in COVID-19 instrument

From

ASIC has announced that it will extend one of three temporary relief measures designed to help the financial advice industry provide consumers with affordable and timely advice during the COVID-19 pandemic. The original relief measures were announced on 14 April 2020 and are set out in ASIC Corporations (COVID-19—Advice-related Relief) Instrument 2020/355  (refer: 20-085MR). Instrument 2020/355 expires

continue reading

ASIC warns time is fast running out for insurance claims handling AFS licence applications

From

ASIC has called on insurance claims handling firms to lodge licence applications (new and varied) as soon as possible, and by no later than 7 May 2021. Since 1 January 2021, claims handling and settling is a financial service which requires a licence by 1 January 2022. Deputy Chair, Karen Chester said ‘Time is running

continue reading