On the pulse
ASIC and APRA host Superannuation CEO Roundtables to discuss the FAR – see media release.
ASIC announces financial reporting and audit focus areas for FY 2025-26 – see media release.
ASIC: Consumer lease industry on notice for potential compliance failures following reforms – see media release.
ASIC Market integrity update - May 2025 – see update.
ASIC proposes to remake basic deposit and general insurance product distribution legislative instrument – see media release.
ASIC Commissioner: “Trusting trustees with our $4 trillion in superannuation” – see speech.
ASIC: Addressing financial system climate risk: A view from the regulator – see speech.
Treasury launches new Foreign Investment Portal – see media release.
G+T Insight - Wholesale client tests remain the same – Adam Laura, Michael Mellon and Jared McLachlan (22 May 2025).
ASIC
ASIC and APRA host Superannuation CEO Roundtables to discuss the FAR
ASIC and APRA have published summaries from the Superannuation CEO Roundtables held on 1 and 10 April 2025. The sessions were attended by 15 superannuation CEOs from across the industry.
Discussions focused on the Financial Accountability Regime (FAR) – a key regulatory framework aimed at enhancing accountability and governance across the financial services sector.
Key takeaways:
APRA and ASIC noted the superannuation industry's preparedness for FAR and stated that they have improved their understanding of gaps and pain points in the industry.
CEOs agreed that scenario testing is useful for identifying handover points, clarifying accountabilities and aligning KPIs and job descriptions with FAR accountability statements.
FAR has driven cultural and behavioural changes, with increased executive collaboration and reduced silos.
CEOs called for regulatory simplification due to challenges of multiple regimes and difficulties in capturing business components not regulated by FAR.
APRA and ASIC stressed the importance of identifying related entities and understanding their connections for risk management and RSE licensing. Trustees should strengthen FAR frameworks and CEOs and directors must have reasonable steps to ensure accountability.
See ASIC media release and APRA media release.
ASIC announces financial reporting and audit focus areas for FY 2025-26
ASIC has released its focus areas for financial reporting and audit for the 2025–26 financial year. The update also tracks progress in its ongoing surveillance programs. In relation to financial reporting, ASIC states that it continues to focus on areas requiring significant judgement from preparers of financial reports, including:
revenue recognition
asset valuation
estimation of provisions.
The 2025-26 financial year will also be the first year that certain entities are required to prepare a sustainability report. ASIC has confirmed it will review sustainability reports dated 31 December 2025 as part of its 2025-26 program and share its observations with the market to assist preparers.
ASIC has also updated Information Sheet 284 Public companies to include a consolidated entity disclosure statement in their annual financial report (INFO 284). The update reflects recent legislative amendments that clarify the tax residency disclosure requirements where entities are resident in more than one jurisdiction, as well as when an entity is an ‘Australian resident’ for the purposes of the consolidated entity disclosure statement, including partnerships and trusts.
The update of INFO 284 is relevant to all public companies and applies to annual financial reports for financial years commencing on or after 1 July 2024.
See ASIC media release and INFO 284.
ASIC: Consumer lease industry on notice for potential compliance failures following reforms
ASIC has reviewed the consumer lease industry and found evidence of customer harm, with some providers at risk of breaching consumer protection laws. This is despite providers leaving the market following recent reforms.
The review assessed how remaining providers are complying with the new obligations, how product offerings have shifted and where non-compliance remains.
ASIC is urging all consumer lease providers, not just those included in the review, to assess their practices against the findings and better practices published in its latest update.
See ASIC media release.
ASIC Market integrity update - May 2025
ASIC launches new portal for Australian financial services (AFS) licensees – Effective from 5 May 2025, the new portal, integrated into the ASIC Regulatory Portal, provides a more efficient, modern and user-friendly experience for AFS licence applicants. It will streamline the way AFS licensees submit applications and make notifications to ASIC.
Digital asset platforms encouraged to strengthen token listing practices – As part of ASIC’s broader work to monitor digital asset businesses, ASIC met with several providers to discuss their process for assessing digital assets prior to listing on their platform. ASIC found that while most platforms have a documented listing process, how it was applied varied. ASIC encourages platforms to do their due diligence. ASIC will continue to monitor the listing practices of platforms as part of its broader digital asset work program.
See ASIC update.
ASIC proposes to remake basic deposit and general insurance product distribution legislative instrument
ASIC proposes to remake ASIC Corporations (Basic Deposit and General Insurance Product Distribution) Instrument 2015/682, which was due to sunset on 1 October 2025.
ASIC has assessed that this instrument is operating effectively and efficiently and continues to form a necessary and useful part of the legislative framework. Submissions on this proposal close 25 June 2025.
See ASIC media release and CS 20.
ASIC Commissioner: “Trusting trustees with our $4 trillion in superannuation”
On 27 May 2025, ASIC Commissioner Simone Constant provided a keynote address at the Consumer Rights Forum in Adelaide.
Key takeaways:
Superannuation is one of Australia’s greatest success stories but bigger has not necessarily meant better when it comes to the way trustees treat their members.
Governance failures are the golden thread connecting many issues within superannuation member services at the moment.
ASIC will continue to follow up and follow through to ensure trustees do what they have said they will do and deliver the step-change that was promised.
See ASIC Commissioner’s speech.
ASIC regulator addresses financial system
On 29 May 2025, ASIC Commissioner Kate O’Rourke provided a keynote address at the Responsible Investment Association Australasia (RIAA) Conference.
Key takeaways:
ASIC is working hard to help entities comply with the new mandatory climate-related reporting framework, so that they are on a course to succeed.
In March 2025, ASIC released a new regulatory guide, which includes direction on the content required in the sustainability report and ASIC is currently reviewing applications for relief.
ASIC is also putting resources into capacity building and intends to develop a set of educational materials to help report preparers understand the concepts underlying the reporting obligations.
See ASIC Commissioner’s speech
Legislation and proposed legislation
Treasury launches new Foreign Investment Portal
On 28 May 2025, treasury launched the new Foreign Investment Portal (FIP) for the lodgement and management of applications for review of relevant transactions by the Foreign Investment Review Board (FIRB). The FIP can be used to:
submit foreign investment proposals
submit a compliance report
communicate with treasury in-system
make submissions
apply for waivers
pay fees.
Treasury states that the new FIP was developed in close consultation with stakeholders and will help with:
collecting accurate and complete information upfront
improving application processing speed and efficiency
improving transparency by centralising communications on a secure platform
identifying and managing national interest and security risks.
Treasury has informed stakeholders that:
The previous FIRB Application Portal will no longer be used to submit foreign investment proposals and that from 28 May 2025, it will become read-only and will only be accessible until 30 June 2025
All applicants are encouraged to download all historical submissions contained within the FIRB Application Portal for their records. Access to historical submissions will continue until 30 June 2025. After this date, the FIRB Application Portal will no longer be accessible.
See Treasury’s media release and update.
G+T articles
G+T Insight - Wholesale client tests remain the same – discusses the Parliamentary Joint Committee on Corporations and Financial Services’ recommendation that the wholesale client test remains unchanged – Adam Laura, Michael Mellon and Jared McLachlan (22 May 2025).
Calendar dates
10 June 2025 – Credit licensing requirements for Buy Now Pay Later providers commence.
5 August 2025 – Final report due in the Senate inquiry into greenwashing.
31 March 2026 – Amended AML/CTF obligations commence for existing reporting entities.
31 March 2026 – Tranche two entities may enrol as reporting entities with AUSTRAC.
1 July 2026 – Mandatory climate-related financial disclosures for Group 2 entities apply in respect of financial years starting on or after this date.
1 July 2026 – Key AML/CTF obligations commence for lawyers under reforms to Anti-Money Laundering and Counter-Terrorism Financing Act 2006.
13 July 2026 – Key CDR obligations commence for non-bank lenders.
1 July 2027 – Mandatory climate-related financial disclosures for Group 3 entities apply in respect of financial years starting on or after this date.