Australian watchdog to toughen licensing process in financial services

Pedro Gonçalves
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Australian watchdog to toughen licensing process in financial services

The Australian Securities & Investments Commission (ASIC) has made some changes to Australian financial services (AFS) licensing assessment procedures.

Licence applicants are now required to provide certain additional information and documents in their application to allow ASIC to ensure responsible officers are of good fame or character.

These changes will be applicable for all AFS licence applicants representing a body corporate and Australian Prudential Regulation Authority-regulated bodies.

ASIC has reviewed the AFS licence assessment processes and has streamlined its assessment processes in some limited respects"

Applicants, who aim to provide certain financial services or operate in specific circumstances, will also come under the purview of new regulations.

The additional historical information will be used by the regulator to understand if the applicant is likely to violate legislative obligations.

ASIC executive director - Assessment & Intelligence Warren Day said: "ASIC has reviewed the AFS licence assessment processes and has streamlined its assessment processes in some limited respects. This is designed to avoid unnecessary delays that may arise when ASIC seeks additional information during an assessment."

ASIC is currently developing a new regulatory portal that will include a new AFS licence application platform. Until this is implemented, ASIC continues to use its existing AFS licence platform.

 

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