25 August 2022

Effectiveness and capability review of ASIC

The Albanese Government has today tabled in Parliament the Effectiveness and Capability Review of the Australian Securities and Investments Commission (ASIC) undertaken by the Financial Regulator Assessment Authority (FRAA).

The Government welcomes the FRAA’s first report which assesses ASIC’s effectiveness and capability across strategic prioritisation, planning and decision making; surveillance; and licensing.

Australia has a world‑leading financial system to which ASIC’s contribution is crucial. The Government welcomes the FRAA’s finding that ASIC is effective and capable in the areas reviewed. The FRAA report contains 4 recommendations which focus on ASIC’s data and technology capability, ASIC’s engagement with stakeholders, ASIC’s ability to measure its own effectiveness and capability, and ASIC continuing to broaden its mix of skillsets to meet current and future needs of the organisation.

These recommendations aim to enhance ASIC’s culture and improve its effectiveness and capability. The Government encourages ASIC to consider these recommendations.

The FRAA’s next review will assess the effectiveness and capability of the Australian Prudential Regulation Authority (APRA).

The FRAA is an independent statutory body. It was established in response to recommendations of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

The Government supports the FRAA’s ongoing work to enhance the effectiveness and capability of our financial regulators.

The FRAA report is available on the Financial Regulator Assessment Authority website.