ASIC launches inquiry into ASX
The Australian Securities Exchange (ASX) has been placed under intensified scrutiny by the Australian Securities and Investments Commission (ASIC) via an inquiry focusing on governance, capability and risk management.
In doing so it has cited repeated and serious failures at the ASX.
ASIC announced the inquiry saying it would be led by an expert panel that would make recommendations to address any identified shortcomings or deficiencies.
In announcing the inquiry, ASIC said the ASX plays a critical role in Australia’s financial markets and noting that “ASIC and the Reserve Bank of Australia (RBA) have ongoing concerns over ASX’s ability to maintain stable, secure and resilient critical market infrastructure”.
Commenting on the move, ASIC Chair Joe Longo said, “ASX operates Australia’s critical markets infrastructure. Investors and market participants deserve to have absolute confidence that ASX is operating soundly, securely and effectively.
“ASIC’s decision to initiate an Inquiry follows repeated and serious failures at ASX,” he said. “ASX is ubiquitous, you simply cannot buy and settle on the Australian public equities and futures markets without relying on ASX and its systems.”
“The Inquiry provides an opportunity for ASX to bolster market trust.”
“The Chairs of the ASX entities, members of the Board, and CEO and CRO have assured me ASX will fully cooperate with the Inquiry and ASIC welcomes this cooperation,” Longo said.
ASIC will discontinue its investigation of the 20 December 2024 CHESS Batch Settlement failure. Consideration of this incident will form part of the broader Inquiry.
While this Inquiry is underway, it is critical ASX continues to prioritise the safe and efficient operation of its infrastructure, including progress towards Release 1 of the CHESS replacement project in mid-2026.
One of the worst mistakes Labor’s Wayne Swan did in APR 2011 was NOT allowing Singapore Ex to take over the ASX.
That woulds have been the best thing to happen to the Australian Financial Services sector since floating the AUD.
But given ASIC’s form they’ll probably now come up with a new 3rd levy to hit advisers with to pay for the fk-up’s of the ASX…I mean we advisers are fodder for everything these days right? Next we’ll be blamed for the War in Gaza and Climate change….FFS
If this is the benchmark, then ASIC should launch an enquiry into itself.
Tell me again why my clients in semi-regional Australia are paying for Dixon despite it being reported?
Unacceptable, unaccountable.
Australia is crap.