ASIC has released Report 569, Market integrity report: July to December 2017 (Report 569) in which it has outlined highlights from the second half of last year, including:
- client money - ASIC points to its client money reporting rules released in October 2017 which impose record-keeping, reconciliation and reporting obligations on Australian financial services licensees that hold derivative retail client money;
- sell-side research -: ASIC points to its new guidance on sell-side research released in December 2017 (see G+T Insight on this issue); and
- cyber resilience - ASIC points to its report on cyber resilience of firms operating in financial markets released in November 2017 which was designed to raise awareness of cyber risks and encourage behavioural change by highlighting good practices and areas for improvement.
Report 569 also highlights ASIC’s key activities in the second half of 2017 in other areas including NSX listing standards, financial benchmarks, continuous disclosure, binary option trading apps and insider trading.
ASIC has indicated that its focus over the next few months will be on:
- technology and cyber resilience - particularly malicious cyber-crime in the context of rapid technological developments.
- conduct - continued focus on conduct that enhances market integrity across all market-based activities; and
- effective capital markets - continued review of market activity in the OTC sector as well as the FX market, considering allocation processes in equities markets and building on its existing market surveillance capabilities.