ASIC has revealed its Corporate Plan for 2019-20 to 2022-23 which sets out the regulator’s change agenda as well as regulatory priorities and explains how it will act strategically to address misconduct in the financial system and improve consumer outcomes.
“The public expects financial firms to treat Australians fairly and live up to the expectations of the community and the law,” said ASIC’s Chair, James Shipton. “The public expects ASIC to see that they do. If the firms or individuals we regulate do not, we have the will, the resources and the regulatory tools to hold them to account.”
The plan states, “This year’s Corporate Plan outlines our efforts towards becoming a more strategic regulator, our renewed approach for supervision and enforcement, and our key regulatory activities over the next four years. It sets out how we will be using the full suite of our regulatory tools to target the threats and harms we see in the financial system.”
ASIC has identified seven principal strategic regulatory priorities. Together, they represent the most significant ways in which the regulator will be:
- promoting better corporate cultures and behaviours, in particular the values of fairness and professionalism
- addressing consumer harms (particularly where vulnerable individuals and communities are impacted) and improving consumer outcomes
- deterring, punishing and publicly denouncing wrongdoing via our “Why not litigate?” operational discipline.
The plan categorically states that ASIC will directly address the findings of the Royal Commission into Misconduct in the Banking, Superannuation, and Financial Services Industry, prioritising and acting on its recommendations.
The Corporate Plan explains how ASIC will bolster its capabilities so as to deliver its own change program and strategic priorities. This includes:
- expanding the use of behavioural sciences, data and technology
- positioning ASIC as a strategic and agile regulator
- developing and using new regulatory tools and remedies, such as the new product intervention power, the design and distribution obligations and tougher penalties
- scaling up ASIC to achieve these outcomes.
You can download ASIC’s Corporate Plan in its entirety here.