ASIC welcomes FRAA recommendations

Corporate watchdog ASIC has welcomed the recommendations made by the Financial Regulator Assessment Authority in its report, Effectiveness and Capability Review of the Australian Securities and Investments Commission.

The review, which looked at ASIC strategic prioritisation, planning, decision-making, surveillance and licensing, as well as the regulator’s use of data and technology in these areas, found that ASIC is effective and capable in the areas reviewed.

FRAA, an independent statutory body tasked with assessing and reporting on the effectiveness and capability of ASIC and APRA, made four recommendations around enhancing ASIC’s use of data and technology, strengthening its engagement with stakeholders, enhancing its ability to measure effectiveness and capability, and continuing to broaden its mix of skill sets.

“We need to keep pace in an environment of accelerated change in order to be a confident and ambitious regulator,” ASIC Chair Joe Longo said. “I welcome the FRAA’s recommendations which align closely with my priorities for ASIC.”

ASIC has several initiatives underway that align to the FRAA’s recommendations. These include:

• implementing multi-year data and digital strategies that focus on uplifting ASIC’s technology systems and data capabilities
• implementing a multi-year people strategy to help deliver ASIC’s organisational priorities
• implementing regulatory efficiency initiatives to make changes to the way ASIC administers the law and to make it easier for stakeholders to interact with ASIC
• taking steps to enhance how ASIC measures and reports on its effectiveness and capability

“Our 2022-26 Corporate Plan provides more information about some of these initiatives and our ambitions over the coming years,” Longo said. “In line with the FRAA’s findings, this year, we have highlighted our key projects and initiatives to provide further clarity on what we are focused on. We will continue to implement the FRAA’s findings in our future work. We will always be committed to ongoing improvement of our effectiveness and capability to become an even stronger regulator, trusted by the community and always looking ahead.”