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Submissions

Members who would like to obtain copies of AFMA submissions made prior to 2016 can contact the Secretariat Manager at secretariat@afma.com.au 

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Date Title & Summary Topic Area Sent to
17-Sep-2018

Open Banking - Treasury Laws Amendment (Consumer Data Right) Bill 2018

Submission that Open Banking and the Consumer Data Right more generally propose profound changes to the banking and economic environment, and encouraging the Government not to rush consideration of these changes and risk unintended consequences. Given the types of risks associated with banking as well as business and consumer data, the investment of extra time now is the best option and could help minimize the risk of serious problems arising later. Proper consideration of the proposals requires a whole-of-government approach including with APRA, Home Affairs, ASIC, RBA and AUSTRAC combined with deep engagement with industry over an extended period and will require a consideration of prudential matters, financial system stability matters, privacy, market integrity, compatibility with money laundering and counter terrorism programs, and the potential micro- and macro-economic impact.

Regulation Treasury
17-Aug-2018

Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018

Submission in relation to the proposed amendments to the Taxation Administration Act 1953 to bring within scope of the third party reporting requirements payments made by entities that supply an information technology service to another entity wholly or partly for the supply of an information technology service, noting the proposed exception for payments made to members of the same consolidated group or MEC group. AFMA suggests that the proposed exception be broadened to capture payments made to members of the same economic group, which could be done in a manner consistent with the Significant Global Entity definition ie. by including within the exception payments made to entities that are within the same accounting consolidated group.

Regulation Treasury
15-Aug-2018

ASIC Consultation Paper 302 Proposed changes to capital requirements for market participants

Submission supporting adjustments the capital requirements to reflect underlying risk. Where risks cannot be efficiently calculated on a case by case basis AFMA also supports the use of proxy standard estimates as proposed in a number of cases as an appropriate balance between accuracy and efficiency. There are concerns around the difficulties of calculating cash flows out twelve months in a markets business, and the proper roles of management and boards in relation to managing liquidity risks.

Regulation ASIC
15-Aug-2018

Design and Distribution Obligations and Product Intervention Power - draft legislation and explanatory memorandum

Further submission on 2018 Bill reiterating the need to balance compliance cost and regulatory burden and provide greater protections to investors in relation to more complex products. In terms of capital raising it is unclear why the regime distinguishes between ordinary shares and other ordinary securities as these products are used predominantly to provide a basic economic interest in an operating business. Clarity is needed whether distribution by personal advice is carved out of the DDO framework or whether a target market determination (TMD) still has to be produced but can be limited to a statement that distribution to retail investors is via personal advice only. Other issues include concerns about a TMD being misconstrued as disclosure or advice, guidance about the form and content of a TMD, ongoing uncertainty about the reasonable steps test in relation to exchange traded products where there is no relationship between the issuer and the distributor, and a lack of standardisation in relation to record keeping obligations.

Regulation Treasury
03-Aug-2018

ASIC Consultation Paper 301 Foreign Financial Service Providers

Submission supporting the continuation of the sufficient equivalence and limited connection class order regime, albeit with additional conditions on the relief, and/or a narrowing of the scope of the available relief in order for ASIC to achieve its regulatory objectives, including to strive to maintain, facilitate and improve the performance of the financial system and the entities within that system in the interests of commercial certainty, reducing business costs, and the efficiency and development of the economy. AFMA is strongly of the view that if a foreign AFSL regime is introduced, the licensing process needs to be streamlined and simple for entities that are already licensed in equivalent jurisdictions. An overly onerous application process is likely to be a significant disincentive to offshore entities obtaining a licence and providing services to Australian clients.

Regulation ASIC
02-Aug-2018

Application of CPS226 to physically settled precious metals forwards

Submission requesting APRA to allow an 'APRA covered entity' to exclude physically settled precious metals forwards from the posting and collecting of initial margin under CPS 226, due to the inconsistency between how APRA treats precious metals forwards under CPS226 and margining product capture in other G20 countries, and how this inconsistency affects the business of APRA covered entities and could lead to regulatory arbitrage and an uneven playing field between competitors in different jurisdictions.

Regulation APRA
31-Jul-2018

Draft amendments to Chapters 4 and 15 of the AML/CTF Rules relating to corporate customers who are custodians

Submission behalf of AFMA members who are intermediaries providing services to an investor directed portfolio service (IDPS), managed discretionary account (MDA) or custodian, supporting the proposed changes as the current requirement to 'look through' to the underlying beneficiaries of the custodial or depository service creates unnecessary duplication of effort and administration.

Regulation AUSTRAC
13-Jul-2018

Updates to AUSTRAC Compliance Guide re self-attestation of identity; independent review of AML/CTF programs

Submission commenting on proposed changes to the requirements for review of AML/CTF programs, including the independence of the reviewer, the matters to be reviewed, the frequency of reviews and factors that might increase the frequency of review.

Regulation AUSTRAC
13-Jul-2018

ESB National Energy Guarantee Draft Detailed Design Consultation Paper

Submission agreeing that a key objective of the design of the Guarantee should be to enhance the liquidity, transparency and the level of competition in the retail and wholesale electricity markets. AFMA appreciates the efforts that the ESB has made to engage with stakeholders to ensure that this is the case and urges the ESB to continue to take a flexible approach to achieving the objectives of the Guarantee.

Regulation Energy Security Board
03-Jul-2018

Consultation on proposed Australian Financial Complaints Authority (AFCA) Rules of Complaint Resolution Scheme

Submission noting that as access to the scheme is not limited to retail clients, and there is no clear carve out for non-retail clients, AFCA should closely monitor the usage of the scheme by small business to identify whether there are any issues related to access to the scheme that could be addressed through further review. All parties should have reasonable notice and opportunity to respond to systemic issues, potential significant contraventions or breaches, and preliminary assessments in relation to complaints within a timeframe that is appropriate to the complexity and circumstances of each matter. The Rules should clarify how the broad powers over remediation of systemic issues could interact with ASIC's powers in relation to remediation, and how AFCA's remit over privacy-related complaints might operate alongside the Office of the Australian Information Commissioner

Regulation AFCA
29-Jun-2018

Financial Adviser Standards and Ethics Authority - Proposed Guidance on Education Pathways for Existing Advisers

Submission urging FASEA to recognise different specialisations and advice activities, including financial markets advisers, that do not require the same skills and competencies as financial planning providers. FASEA should adopt a model that sets a minimum (but still appropriately high) standard of qualifications and competency across the sector, but allows for appropriate streaming and specialisation in addition to the minimum standards that are common to all.

Regulation FASEA
29-Jun-2018

ASIC Consultation Paper 299: Short selling - Reliefs and Orders

Submission in relation to ASIC review of existing relief from the naked short selling prohibition provided to market makers of certain exchange traded products (ETPs); the granting of legislative relief from the naked short selling prohibition in the context of corporate actions and initial public offering (IPO) sell-downs; changing the relevant time short positions are calculated; and remaking a number of class orders on short selling which are due to sunset soon after 10 years. An important aspect of ASIC's review is to consolidate all short selling relief into a single instrument, including relief that is to be remade as a result of sunsetting as well as any new or modified relief raised by the proposals.

Regulation ASIC
22-Jun-2018

AUSTRAC Industry Contribution 2018-19 - Stakeholder Consultation Paper

Submission reiterating previous concerns about industry contribution model and highlighting that only 570 of approximately 14,000 reporting entities pay the entire industry contribution. Although the forward estimates suggest that the amounts to be recovered would decrease each year until 2020-21, that has not occurred this year due to additional funding announced in MYEFO in December 2017 and there is no certainty for industry that the Government will not announce additional funding measures in the coming years.

Regulation AUSTRAC
08-Jun-2018

Proposed Financial Institutions Supervisory Levies for 2018-19

Submission noting that the proposed levies further reduce the maximum and the restricted levy rate applied to the foreign branch ADIs from one third of that for a domestic ADI to one fifth. This follows on from a reduction in the maximum and the restricted levy rate applied to foreign ADIs from one half of that for domestic ADIs to one third in FY 2017-18. The stated purpose of this change in calculation parameters is to better reflect the cost of supervision of these institutions. This approach is consistent with the position advocated by AFMA that the supervisory levies should reflect bank risks and the cost of regulation by APRA.

Regulation Treasury
07-Jun-2018

APRA Information Security Management Discussion Paper

Submission noting that information security is the primary security matter for banks and financial markets participants, and supporting the extension of the prudential standards to information security matters where it is done in a coordinated way that fits well with the other regulatory and legislative initiatives underway. There is a need to ensure there is appropriate coordination with the proposed Government requirements to open up customer data to many more firms under the Open Banking framework which applies to information customers have requested be released to third parties including non-ADI firms, as data will be transferred from entities subject to APRA's information security requirements such as in CPS 234 and CPG 235, to entities that are not.

Regulation APRA
06-Jun-2018

Reserve Bank of New Zealand Consultation Paper: Authorisations for the use of restricted words by overseas banks

Submission supporting the need for a formal public register of authorised overseas banks conducting activities in New Zealand, and the objectives regarding clarity for consumers. However because the non-objection letters currently issued by RBNZ often cover very specific and minor activities, therefore justifying the exemption from registration for a number of entities, we recommend that obligations for and related to authorisation should continue to be managed proportionately according to an entity's level of activity in New Zealand.

Regulation RBNZ
01-Jun-2018

Financial Adviser Standards and Ethics Authority Code of Ethics for Financial Advisers - Exposure Draft of Proposed Standard

AFMA strongly supports the implementation of the professional standards for financial advisers regime and the role of FASEA in implementing the regime, but urges FASEA to adopt more specific standards that stipulate appropriate practices and rules of behaviour, in order to avoid inconsistent interpretation by code monitoring bodies and additional costs in implementation.

Regulation FASEA
23-May-2018

Cost Recovery Implementation Statement: Fees for service under the ASIC industry funding model (2018-19) May 2018

Submission noting there is no legislative basis to charge a fee for a market integrity rule waiver as it has been omitted from the Regulations.

Regulation ASIC
04-May-2018

ASX Market Management - Consultation Paper

The industry recognises the generally very high level of ASX infrastructure "up time". When there are outages the industry is keen to ensure that any risk of damage to the reputation of Australia's markets and the confidence of users of the markets is minimised. In this regard it is critical that the session states are managed in a clear and optimised way for the market as a whole, in order to create the best outcome for the national interest.

Regulation ASX
02-May-2018

New APRA data collection solution

Submission supporting solutions that result in minimal cost and disruption to ADIs while still allowing the evolution and improvement of the system. The solution should allow or support smart submission with automatic form completion where appropriate and logical checking of data, and notification of potential errors, should be flexible and extensible, and have user-friendly features to support easy tracking and notification around submission status.

Regulation APRA
01-May-2018

Corporations (Fees) Amendment (ASIC Fees) Bill 2018 and amendments to Corporations (Fees) Regulations 2001 Exposure Draft

Submission reiterating concerns about fees for changes to SEGC operating rules when SEGC is essentially a compensation fund, and inconsistencies between fees for market licensee and CS facility reports.

Regulation Treasury
24-Apr-2018

Further submission on Regulatory Guide 264 - Sell-side research

Submission recommending further adjustments to the guidance in relation to research analyst input to committees due to concerns about the ability of committees to have the benefit of (but not to influence) an independent research analyst's expert and personal assessment of the issuing company, before the IER is widely distributed. AFMA members also believe the restriction is out of kilter with global practices and would result in Australia being the only developed market globally which restricts committees having access to all relevant material, which includes analysts expert views.

Regulation ASIC
20-Apr-2018

Banking Executive Accountability Regime (Size of an Authorised Deposit-taking Institution) Determination 2018 Exposure Draft

Submission recommending that the Government should adjust the thresholds for small and medium ADIs to ensure that small and medium ADIs continue to be well placed to attract and retain talent, compete, and offer a range of services and products.

Regulation Treasury
06-Apr-2018

Implementing the OECD Hybrid Mismatch Rules - Updated Exposure Draft and Draft Explanatory Memorandum

Submission supporting refinement of the proposed amendments to Part IIIB to implement the branch hybrid mismatch rules in a manner that neutralises a clear hybrid mismatch, but that the deduction would not otherwise be denied to the foreign bank branch. This could potentially be done with reference to the books and records of the branch or where the quantum of the deduction available to the branch does not exceed the amount available assuming Part IIIB did not have any application (i.e. the arm's length amount determined under Subdivision 815-C).

Taxation Treasury
29-Mar-2018

Competition in the Australian financial system

AFMA submission to the Productivity Commission inquiry draft report consultation.

Regulation Productivity Commission
23-Mar-2018

Open Banking

Submission in response to the final report into the review of open banking in Australia.

Other The Treasury
08-Mar-2018

National Energy Guarantee

Submission on draft NEG design consultation paper.

Regulation Energy Security Board
08-Mar-2018

Diverted Profits Tax

Joint industry submission in relation to the Diverted Profits Tax draft law companion ruling and draft practical compliance guideline.

Regulation ATO
11-Feb-2018

Design & Distribution Obligations and Product Intervention Power Draft Legislation and Explanatory Memorandum

Submission in relation to draft legislation.

Regulation The Treasury
02-Feb-2018

Foreign Influence Transparency Scheme Bill 2017

Supplementary submission on the FITS Bill in response to Committee questions.

Regulation Parliamentary Joint Committee on Intelligence and Security
02-Feb-2018

ASIC draft guidance on ASIC Market Integrity Rules for participants of securities markets

Submission on draft guidance in relation to securities market participants’ management plans.

Regulation ASIC
31-Jan-2018

2018-19 Pre-Budget Submission

Submission on matters for consideration in the formulation of the FY2018-19 Budget strategy.

Taxation The Treasury
17-Jan-2018

Foreign Influence Transparency Scheme Bill 2017

Submission on the likely adverse impacts on industry bodies such as AFMA of compliance with the Bill as drafted.

Regulation Parliamentary Joint Committee on Intelligence & Security
22-Dec-2017

Implementing the OECD Hybrid Mismatch Rules

Submission on the Exposure Draft and draft Explanatory Memorandum for the legislation to implement the OECD Hybrid Mismatch Rules in an Australian context.

Taxation The Treasury
18-Dec-2017

Financial Sector Crisis Resolution Bill

Submission supporting the Bill to strength APRA’s crisis management and resolution powers consistent with the Financial Stability Board’s Key Attributes of Effective Resolution Regimes.

Regulation Senate Standing Committee on Economics
08-Dec-2017

ASIC’s Fees for Service under the Industry Funding Model

Submission supporting the general principle of fees being applied to demand-driven services provided by ASIC to the regulated population.

Regulation The Treasury
08-Dec-2017

ASIC Enforcement Review – Position Paper 7: Strengthening penalties for corporate and financial sector misconduct

Submission noting that AFMA members are committed to ensuring that markets function fairly and efficiently and properly serve the needs of investors and the wider economy and community within the framework of a regulatory regime is supported by a credible penalty regime. The review of penalties for corporate and financial services misconduct needs to ensure that the penalties are calibrated in a manner that supports both the effective functioning of financial markets and promotes strong public confidence in them. It is important that the right balance is achieved to foster decisions that will enhance the productivity of the financial system and the broader economy, and also to position Australia as a competitive centre for the conduct of financial business.

Regulation The Treasury
01-Dec-2017

ASIC’s Direction Powers

Submission that there is insufficient analysis to make out the policy case for the proposed directions powers.

Regulation The Treasury
18-Oct-2017

Consultation on RPG 702.0 ABS/RBA Data Quality for the EFS Collection and Reporting Standard RRS 710.0 ABS/RBA Audit requirements for Registered Financial Corporations

Submission welcoming the revised approach adopted in the draft Reporting Practice Guide as part of the agencies’ response to the consultation on the Economic and Financial Statistics collection. In particular, the adoption of qualitative guidance to replace the previously proposed quantitative standard provides a more workable framework within which to manage the assurance of data quality.

Regulation APRA
17-Oct-2017

Draft determination – Five minute settlement

Submission noting issues in relation to cost/benefit, potential impacts on financial market liquidity, and the transition period.

Regulation AEMC
12-Oct-2017

ASIC Enforcement Review - Position and Consultation Paper 6: ASIC’s power to ban senior officials in the financial sector

Submission supporting the wider objectives of the proposed changes to ASIC’s banning powers as outlined in the consultation paper. It is important that the regulatory regime operates in a clear and effective way in the interests of both financial services business and consumers. In order to ensure that the overall regulatory regime is efficient and achieves its objectives, enhancements to any part of the regime should be clear in their application.

Regulation The Treasury
11-Oct-2017

ASX-Listed Company Announcements: Processes for Advising of Changes to Security Status. Consultation Paper September 2017

Submission noting that the consultation represents an opportunity to make sensible changes to the design of the interaction between markets. AFMA broadly welcomes the proposed changes as a positive step in evolving the market to a more logical structure given its multi-market nature.

Regulation ASX
29-Sep-2017

Exposure Draft Treasury Laws Amendment (Banking Executive Accountability and Related Measures) Bill 2017 (the Bill) and Explanatory Memorandum (EM)

Submission in relation to the draft Bill and EM on behalf of members who are Australian-owned banks and branches of foreign banks who will be required to comply with BEAR. Comments aimed at supporting the introduction of a regime that achieves the desired policy outcomes but also operates in a readily understandable way, is consistent with similar regimes in other jurisdictions to the extent this is appropriate, and affords individuals who are subject to the regime the level of rights and protections that are a common feature of the Australian legal system and regulatory regimes such as that administered by ASIC.

Regulation The Treasury
29-Sep-2017

Response to APRA discussion paper: Counterparty Credit Risk for ADIs

Submission commenting on aspects of the Prudential Standards referenced in the discussion paper, and particularly the reporting forms which accompany the new Prudential Standard APS 180 Capital Adequacy: Counterparty Credit Risk (APS 180).

Regulation APRA
18-Sep-2017

ASIC Consultation Paper 290 – Sell-side Research

Submission on a range of matters arising from proposed guidance on handling conflicts between corporate advisory and sell-side research.

Regulation ASIC
08-Sep-2017

APRA’s Crisis Management Powers

Submission giving in principle support to the strengthening of APRA’s powers consistent with the Financial Stability Board’s (FSB) Key Attributes of Effective Resolution Regimes (Key Attributes), but noting the limited time to make an effective assessment of the integrity of the Draft Bill.

Regulation The Treasury
06-Sep-2017

Modernising Business Registry Services

Submission supporting the goals of the National Business Simplification Initiative and the modernisation of business registry services.

Regulation The Treasury
25-Aug-2017

Implementing the financial benchmark regulatory regime

Submission on the proposed structure and content of ASIC rules to implement the regulatory regime for financial benchmarks.

Regulation ASIC
21-Aug-2017

Draft Indicative Restructure of the AML/CTF Rules Compilation

Submission supporting the proposed compilation to enhance the accessibility of the AML/CTF Rules. This support is based on the understanding that the compilation will not result in any substantive change to either the Rules or the administration of the Rules and accordingly will not give rise to any requirement for current reporting entities to review their frameworks and ascertain whether any changes are required.

Regulation AUSTRAC
17-Aug-2017

ASIC Enforcement Review – Access to Intercepts

Submission that no change to the current arrangements is warranted in keeping with the previous decisions of Australian governments, on the basis ASIC does not have the appropriate attributes or oversight arrangements to be an interception or recipient agency and administrative convenience is not sufficient policy justification for a change to the law.

Regulation Treasury
25-Jul-2017

Reform of the Regulation of Financial Benchmarks

Submission focussing on the proposed offence provisions - in particular sections 908DA, 908DB, and 908DC.

Regulation Treasury
05-Jul-2017

Proposed revisions to Prudential Standard APS 221 Large Exposures

Submission about the reporting of large exposures of the Australian operations of the foreign ADI, groups of connected counterparties, the definition of total exposure, the implementation timeline and cost/benefit analysis.

Regulation APRA
28-Jun-2017

AUSTRAC Financial Year 2017/18 Industry Contribution

Submission reiterating concern about the non-applicability of the Government’s own Cost Recovery Guidelines to the AUSTRAC Industry Contribution, particularly given the Industry Contribution measure is now clearly one of cost recovery. Given that AUSTRAC regulatory resources are to be deployed more towards those that create the need for regulation, the 2017/18 Industry Contribution model be reconsidered in light of the allocation of AUSTRAC’s compliance resources for the year.

Regulation AUSTRAC
23-Jun-2017

Proposed Financial Institutions Supervisory Levies 2017-18

Submission highlighting an increased levy burden on ADIs, where it is the activities non-ADIs in the provision of credit that have given rise to the need for extra powers to mitigate systemic risks.

Regulation Treasury
16-Jun-2017

Improving dispute resolution in the financial system

Submission that seeks clarification about the status of AFCA as a statutory body and noting a number of transitional issues.

Regulation Treasury
06-Jun-2017

CPS 226 Update – Cross-border application of rules

Submission supporting the CPS 226 update but seeking clarification on substituted compliance and risk mitigation assessment.

Regulation APRA
31-May-2017

ASIC Consultation Paper 281 – Financial Services Panel

Submission supporting the establishment of a panel but highlighting the need to ensure appropriately qualified and experienced people constitute the panel particularly of non-retail and OTC matters are to be included in scope.

Regulation ASIC
26-May-2017

ASIC Supervisory Cost Recovery Regulations 2017

Submission highlighting ongoing difficulty for payees in being able to calculate their levy based on information provided by Treasury and ASIC to date, persistence in linking investment banking and OTC financial products trading, request for urgent clarification of the position of foreign bank branches who do not take retail deposits, and ongoing lack of clarity about treatment of equities and futures market participants and exempt markets.

Regulation Treasury
22-May-2017

Draft AML/CTF Rules: Review of the Act

Submission in relation to the proposed amendments to the AML/CTF Rules arising from the Statutory Review of the AML/CTF Act 2006 and Associated Rules and Regulations conducted by the Attorney-General’s Department.

Regulation AUSTRAC
18-May-2017

Australian Energy Markets Commission Directions Paper – Five Minute Settlement

Submission describing the potential impacts on efficiency and competitiveness of electricity financial markets. The rule change, if implemented, would have far-reaching consequences to the operation of the physical electricity market and the supporting contract markets. Given potential negative liquidity and cost effects, AFMA suggests that the AEMC gives further due consideration and undertakes further analysis before making its draft determination.

Regulation AEMC
17-May-2017

ASIC Enforcement Review – Position and Consultation Paper 1: Self-reporting of contraventions by financial services and credit licensees

Submission addressing the positions set out in the consultation paper – in particular, the time frame in which breaches are to be reported, civil penalties and infringement notices, and objecting to the proposal that ASIC will publish annual data at a licensee level about breach reports without any contextual information about those breaches or how those matters were resolved.

Regulation Treasury
12-May-2017

Proposed Revisions to Reporting Standard ARS 210.0 Liquidity

Submission seeking reconsideration of the reporting basis as being the last business day or the last calendar day of the reporting period, guidance on a range of technical issues and clarification on interaction with other reporting standards.

Regulation APRA
27-Apr-2017

Consultation on Agricultural Lending data collection

No substantive issues about the specific proposal, but noting that questions around the burden and coherence of data collection are currently being debated in the context of the consultation on the Council of Financial Regulators’ Discussion Paper on Economic and Financial Statistics.

Regulation APRA
26-Apr-2017

Insolvency Law Reform - Stay on enforcing rights because of arrangements or restructures

Submission raising concerns about the harm that would flow from insolvency law reform which curtails creditors’ rights in respect of financial contracts if netting law protections for financial instruments does not override the reforms.

Regulation Treasury
20-Apr-2017

Stapled Structures

Joint submission with the Australian Bankers Association on the Treasury consultation paper about stapled structures, focussing on issues arising for those entities that provide debt finance to stapled structures, as opposed to the issues and perspectives of equity participants in such structures (i.e. the owners of the shares in the company or units in the trust that comprise the staple).

Taxation Treasury
18-Apr-2017

APRA Economic & Financial Statistics

Submission seeking delay on implementation of the reporting regime until 1 July 2019, a shortened parallel run period of 3 months, reconsideration of the level of assurance required, a carve out for foreign ADIs from the cost of funds requirements, and concerns about the cost of implementation with little apparent benefit for industry.

Regulation APRA
31-Mar-2017

Consultation on Proposed Reporting Requirements for the Countercyclical Capital Buffer: Reporting Standard ARS 110 – Capital Adequacy

Submission confirming AFMA has no further matters to raise at this time.

Regulation APRA
30-Mar-2017

Response to Treasury Proposals Paper - Design & Distribution Obligations, Product Intervention Power

Submission to the Proposals Paper that argues for greater alignment of proposed ‘issuer’ and ‘distributor’ obligations with existing AFSL and other obligations under the Corporations Act, and the removal of certain proposed requirements for issuers to have more control over the behaviour of distributors, as this is not commercially feasible or possible in many cases. The use of the product intervention power requires significant clarification and should not overlap with or duplicate existing powers.

Regulation Treasury
17-Mar-2017

ASIC Consultation Paper 277

Submission supporting the consolidation of a number of Market Integrity Rule books into 4 rule books, but noting the problematic short consultation period given that the consolidation project has been underway for several years.

Regulation ASIC
13-Mar-2017

Increasing Transparency of Beneficial Ownership of Companies

Submission supporting the objective of increasing transparency in relation to beneficial ownership, and recommending as a general principle that the concept of ‘beneficial ownership’ should be aligned as closely as possible to existing regulatory frameworks, including those for AML/CTF and the ‘relevant interest’ provisions of the Corporations Act.

Regulation Treasury
01-Mar-2017

Treasury Laws Amendment (Combating Multinational Tax Avoidance) Bill 2017 Diverted Profits Tax Bill 2017

Submission to the Senate Standing Committee on Economics inquiry on the MAAL and DPT Bills, highlighting that the operation of the Diverted Profits Tax should not expand the existing law, there should be no double assessments, and legislative protections should be in place for taxpayers given the significant increase in penalties.

Taxation Senate Standing Committee on Economics
14-Feb-2017

AML/CTF Statutory Review Implementation Phase 1 Amendments

Submission on financial markets issues in the proposed Phase 1 amendments to the AML/CTF Act.

Regulation Attorney-General's Department
03-Feb-2017

Interim Report on Review of the financial system external dispute resolution and complaints framework

Submission that issues related to small business lending and treatment of small business by financial institutions should not be bought within the scope of retail dispute resolution arrangements, and should be dealt with separately if the government believes it is necessary to do so.

Regulation Treasury
19-Jan-2017

2017-18 Pre-Budget Submission

Submission to Treasury in relation to financial markets issues to assist in the formulation of the 2017-18 Budget.

Taxation Treasury
19-Jan-2017

Increasing Administrative Penalties for Significant Global Entities

Submission noting concerns about the inadequate consultation process for the introduction of these changes, and the need for additional safeguards for significant global entities given the exponential increase in proposed penalties.

Taxation Treasury
17-Jan-2017

Transparency Draft – New Issue Process Standard

AFMA letter to the UK FICC Markets Standards Board acknowledging the release of the Transparency Draft – New Issue Process Standard for Fixed Income Markets.

Regulation FICC Market Standards Board
23-Dec-2016

Diverted Profits Tax Exposure Draft

Submission detailing potential impacts of the DPT on financial markets participants and the proposal to include the DPT in Part IVA.

Taxation Treasury
19-Dec-2016

Proposed Industry Funding Model for ASIC – Submission to the Second Consultation

Submission to Treasury consultation following on from previous submissions that continues to press for appropriate accountability and transparency arrangements. The submission also details problems with the proposed levy arrangements for investment banks, entities that trade in OTC financial products, and message based charges for futures and derivatives transactions.

Regulation Treasury
09-Dec-2016

Regulator Performance Framework

Response to ASIC request for feedback.

Regulation ASIC
09-Dec-2016

Privacy implications re collection of KYC information from sources other than the customer

Comments on the draft Privacy Guidance for collecting KYC information, in particular that the guidance will impose significant restrictions on the ability of reporting entities to use the optional procedure to collect information.

Regulation AUSTRAC
05-Dec-2016

ASIC Consultation Paper 268 – Licensing relief for foreign financial service providers with a limited connection to Australia

Submission arguing that CO 03/824 relief should not be repealed as it continues to serve an important regulatory purpose, and the Corporations Regulations are not a complete substitute for the relief provided by the class order. The scope and purpose of the class order should be clarified as needed to achieve ASIC’s regulatory aims.

Regulation ASIC
02-Dec-2016

CPS 226 Margin requirements for non-centrally cleared derivatives

Submission on a number of definitional and technical issues in CPS 226.

Regulation APRA
11-Nov-2016

Replacement of CHESS for equity post-trade services

Submission to the ASX consultation paper on business requirements for the replacement of CHESS

Other ASX
11-Nov-2016

AML/CTF Act review

Submission in relation to the draft project plan for implementation of the recommendations of the statutory review of the AML/CTF regime

Regulation Attorney General's Department
31-Oct-2016

National Guarantee Fund reform proposal

Submission on options for reform of the NGF including the heads of claim.

Other SEGC
28-Oct-2016

Draft Prudential Standard 210 and Prudential Practice Guide APG 210 – Liquidity

Submission in relation to the treatment of open reverse repo transactions in the Net Stable Funding Ratio, offshore back offices, and the liquid asset requirements for foreign ADIs.

Regulation APRA
28-Oct-2016

Banks international exposures reporting

Submission to the APRA discussion paper noting the system upgrades and cost, the difficulty of meeting the implementation date, and the need to co-ordinate with other changes requiring additional reporting.

Regulation APRA
10-Oct-2016

Review of the financial system external dispute resolution framework

AFMA submission seeking alignment of the EDR framework with the Corporations Act provisions re the treatment of wholesale clients.

Regulation Treasury
10-Oct-2016

RBA RITS Regulation rewrite

Submission in relation to the requirement to notify about change of jurisdiction of incorporation, RBA failure to notify certain matters, and definitional issues.

Regulation RBA
30-Sep-2016

Framework for concerted practices guidelines

AFMA submission on areas that would benefit from additional ACCC guidance.

Regulation ACCC
30-Sep-2016

Significant Global Entities Lodging General Purpose Financial Statements ATO Discussion Paper

Submission focusing on the issues arising for AFMA members that are headquartered outside of Australia, particularly those that operate in Australia through a permanent establishment as opposed to a separately Australian incorporated entity.

Taxation ATO
29-Sep-2016

ASX interest rate derivatives clearing

AFMA submission to ASX consultation paper on interest rate derivatives clearing

Regulation ASX
23-Sep-2016

Treasury Laws Amendment (Enterprise Tax Plan) Bill 2016

Submission supporting the proposed phased-in reduction of Australia’s corporate tax rate to 25% for all corporates over a ten-year horizon.

Taxation Senate Standing Committee on Economics
15-Sep-2016

FICC Markets Standards Board draft transparency standards

AFMA submission on draft transparency standards for reference price transactions and binary options in commodities markets.

Regulation UK FICC Markets Standards Board
23-Aug-2016

Derivatives Transaction Rules (Reporting) 2013

Submission seeking extension of existing relief under the DTRs for FX securities conversion transactions and for entity information and name information.

Regulation ASIC
15-Aug-2016

ASX clearing participant minimum core capital requirements

Submission in support of additional capital requirements for own-account business, non-ASX business and client short ETO activity.

Regulation ASX
29-Jul-2016

Submission to Productivity Commission Inquiry into Data Availability and Use

This submission discusses the efficiency of public and private data provision and its use with particular reference to the role of financial markets in the Australian economy. It notes that the data currently collected on financial markets by regulators can be used more effectively. The submission also suggests some low cost ways in which government legislation and spending could be made more transparent, facilitating improved public policy.

Regulation Productivity Commission
07-Jul-2016

Draft costings: electronic safe harbour procedures

Further AFMA submission on proposed amendments to Chapter 4 of the AML/CTF Rules to align the electronic safe harbour procedures for customers with those for beneficial owners. AFMA remains supportive of the proposed amendments to the Rules and believes that over the medium to long term they will result in deregulation savings. However, given uncertainty about the quantification of the projected annual savings, we do not support any purported deregulation savings as being used as an offset for additional regulatory burden being imposed on AFMA members in the future

Regulation AUSTRAC
06-Jul-2016

Admission requirements for listed entities

AFMA submission supporting proposed changes to the ASX listings standards which are critical to the integrity of equity exchange markets and the trust and confidence investors have in them. A key area of responsibility for exchanges is determining what instruments to admit to trading and the basis on which to admit them. The International Organization of Securities Commissions (IOSCO) Objectives and principles of securities regulation states that admission standards for issuers and participants are to be robust and administered in a fair and transparent way. ASX under the market operator provisions of the Corporation Act has a statutory obligation to robustly administer the qualification process for listing, and ensure listed entities meet their ongoing obligations to investors under the listing rules.

Regulation ASX
30-Jun-2016

Client money provisions and margining requirements for wholesale OTC derivatives

Industry submission seeking adjustments to the client money provisions in the Corporations Act so that the margining framework for non-cleared derivatives developed by BCBS-IOSCO functions properly for Australian market participants.

Regulation Treasury
24-Jun-2016

Diverted profits tax

AFMA submission to Treasury discussion paper about implementing a diverted profits tax.

Taxation Treasury
10-Jun-2016

AUSTRAC FY 2016/17 industry contribution

AFMA submission on revisions to the industry charging model.

Regulation AUSTRAC
07-Jun-2016

Draft amendments to Chapter 22 of the AML/CTF Rules

AFMA comments on proposed amendments to the existing Chapter 22 exemption for certain participants in the energy derivatives markets.

Regulation AUSTRAC
03-Jun-2016

GST treatment of digital currency

AFMA submission to Treasury discussion paper on how digital currency should be treated for GST purposes.

Taxation Treasury
30-May-2016

Indicator Lending Rate

AFMA feedback on the ATO’s Technical Discussion Paper titled “Income tax: what is the Indicator Lending Rate applicable under subsection 247-20(5) of Division 247 of Part 3-10 of the Income Tax Assessment Act 1997 and subsection 247-80(4) of Division 247 in Part 3-10 of the Income Tax (Transitional Borrowings) Act 1997 in respect of capital protected borrowings (CPBs)?” and the accompanying Draft Taxation Determination

Taxation ATO
13-May-2016

Exchange traded options (ETO) trade cancellation

AFMA response to ASX consultation paper on the ETO trade cancellation regime

Regulation ASX
13-May-2016

Insolvency law and ‘ipso facto’ clauses

AFMA response to National Innovation and Science Agenda – Improving Bankruptcy and Insolvency Law Proposals Paper

Regulation Treasury
29-Apr-2016

ASX clearing participants liquidity risk management

AFMA response to ASX consultation paper on clearing participants liquidity risk management framework

Regulation ASX
22-Apr-2016

Chi-X TraCRs and QMFs

AFMA response to Chi-X consultation paper about the introduction of Transferable Custody Receipts and Quoted Managed Funds on the Chi-X market

Regulation Chi-X
30-Mar-2016

Multinational Anti Avoidance Law (MAAL)

Submission to the ATO outlining the potential application of the MAAL to AFMA members who operate through either a foreign bank branch or subsidiary in Australia, and a request for a risk assessment

Taxation ATO
29-Mar-2016

Enhanced Protection of Client Money

AFMA has made a submission on the Exposure Draft Corporation Amendment (Client Money) Bill 2016, Regulation and Explanatory Memorandum, in addition to the submission dated 10 February 2016 on broader client money issues

Regulation Treasury
21-Mar-2016

Joint AFMA/ISDA request for ASIC class order relief

AFMA and ISDA have jointly applied to ASIC for class order relief in relation to central clearing of swaps resulting from transactions in swaptions entered into prior to the clearing commencement date

Regulation ASIC
11-Mar-2016

Inquiry into the External Scrutiny of the Australian Taxation Office

In a submission to the House Standing Committee, AFMA has supported continuing robust governance and accountability arrangements for regulators and government agencies, including the ATO.

Regulation Standing Committee on Tax and Revenue
29-Feb-2016

Tax incentives for early stage investors

Tax incentives for early stage investors

Taxation Treasury
19-Feb-2016

Special review second draft report – Australia’s climate policy options

Special review second draft report – Australia’s climate policy options

Other Climate Change Authority
10-Feb-2016

Enhanced protection of client money policy paper - Annexure

Enhanced protection of client money policy paper - Annexure

Regulation Treasury
10-Feb-2016

Enhanced protection of client money policy paper - Cover Letter

Enhanced protection of client money policy paper - Cover Letter

Regulation Treasury
05-Feb-2016

Resilience and collateral protection amendments

Resilience and collateral protection amendments

Regulation Treasury
05-Feb-2016

2016-17 pre-budget submission

2016-17 pre-budget submission

Other Treasury
02-Feb-2016

Voluntary tax transparency code

Voluntary tax transparency code

Taxation Board of Taxation
15-Jan-2016

Inquiry into interest deductibility

Inquiry into interest deductibility

Taxation Senate Standing Committee on Economics
15-Jan-2016

Commissioner of Taxation remedial power

Commissioner of Taxation remedial power

Regulation Treasury
08-Jan-2016

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844 in relation to the requirement to share and pair a universal transaction identifier from 1 Feb

Regulation ASIC
Date Title & Summary Topic Area Sent to
05-Feb-2016

2016-17 pre-budget submission

2016-17 pre-budget submission

Other Treasury
19-Jan-2017

2017-18 Pre-Budget Submission

Submission to Treasury in relation to financial markets issues to assist in the formulation of the 2017-18 Budget.

Taxation Treasury
31-Jan-2018

2018-19 Pre-Budget Submission

Submission on matters for consideration in the formulation of the FY2018-19 Budget strategy.

Taxation The Treasury
06-Jul-2016

Admission requirements for listed entities

AFMA submission supporting proposed changes to the ASX listings standards which are critical to the integrity of equity exchange markets and the trust and confidence investors have in them. A key area of responsibility for exchanges is determining what instruments to admit to trading and the basis on which to admit them. The International Organization of Securities Commissions (IOSCO) Objectives and principles of securities regulation states that admission standards for issuers and participants are to be robust and administered in a fair and transparent way. ASX under the market operator provisions of the Corporation Act has a statutory obligation to robustly administer the qualification process for listing, and ensure listed entities meet their ongoing obligations to investors under the listing rules.

Regulation ASX
11-Nov-2016

AML/CTF Act review

Submission in relation to the draft project plan for implementation of the recommendations of the statutory review of the AML/CTF regime

Regulation Attorney General's Department
14-Feb-2017

AML/CTF Statutory Review Implementation Phase 1 Amendments

Submission on financial markets issues in the proposed Phase 1 amendments to the AML/CTF Act.

Regulation Attorney-General's Department
02-Aug-2018

Application of CPS226 to physically settled precious metals forwards

Submission requesting APRA to allow an 'APRA covered entity' to exclude physically settled precious metals forwards from the posting and collecting of initial margin under CPS 226, due to the inconsistency between how APRA treats precious metals forwards under CPS226 and margining product capture in other G20 countries, and how this inconsistency affects the business of APRA covered entities and could lead to regulatory arbitrage and an uneven playing field between competitors in different jurisdictions.

Regulation APRA
18-Apr-2017

APRA Economic & Financial Statistics

Submission seeking delay on implementation of the reporting regime until 1 July 2019, a shortened parallel run period of 3 months, reconsideration of the level of assurance required, a carve out for foreign ADIs from the cost of funds requirements, and concerns about the cost of implementation with little apparent benefit for industry.

Regulation APRA
07-Jun-2018

APRA Information Security Management Discussion Paper

Submission noting that information security is the primary security matter for banks and financial markets participants, and supporting the extension of the prudential standards to information security matters where it is done in a coordinated way that fits well with the other regulatory and legislative initiatives underway. There is a need to ensure there is appropriate coordination with the proposed Government requirements to open up customer data to many more firms under the Open Banking framework which applies to information customers have requested be released to third parties including non-ADI firms, as data will be transferred from entities subject to APRA's information security requirements such as in CPS 234 and CPG 235, to entities that are not.

Regulation APRA
08-Sep-2017

APRA’s Crisis Management Powers

Submission giving in principle support to the strengthening of APRA’s powers consistent with the Financial Stability Board’s (FSB) Key Attributes of Effective Resolution Regimes (Key Attributes), but noting the limited time to make an effective assessment of the integrity of the Draft Bill.

Regulation The Treasury
05-Dec-2016

ASIC Consultation Paper 268 – Licensing relief for foreign financial service providers with a limited connection to Australia

Submission arguing that CO 03/824 relief should not be repealed as it continues to serve an important regulatory purpose, and the Corporations Regulations are not a complete substitute for the relief provided by the class order. The scope and purpose of the class order should be clarified as needed to achieve ASIC’s regulatory aims.

Regulation ASIC
17-Mar-2017

ASIC Consultation Paper 277

Submission supporting the consolidation of a number of Market Integrity Rule books into 4 rule books, but noting the problematic short consultation period given that the consolidation project has been underway for several years.

Regulation ASIC
31-May-2017

ASIC Consultation Paper 281 – Financial Services Panel

Submission supporting the establishment of a panel but highlighting the need to ensure appropriately qualified and experienced people constitute the panel particularly of non-retail and OTC matters are to be included in scope.

Regulation ASIC
18-Sep-2017

ASIC Consultation Paper 290 – Sell-side Research

Submission on a range of matters arising from proposed guidance on handling conflicts between corporate advisory and sell-side research.

Regulation ASIC
29-Jun-2018

ASIC Consultation Paper 299: Short selling - Reliefs and Orders

Submission in relation to ASIC review of existing relief from the naked short selling prohibition provided to market makers of certain exchange traded products (ETPs); the granting of legislative relief from the naked short selling prohibition in the context of corporate actions and initial public offering (IPO) sell-downs; changing the relevant time short positions are calculated; and remaking a number of class orders on short selling which are due to sunset soon after 10 years. An important aspect of ASIC's review is to consolidate all short selling relief into a single instrument, including relief that is to be remade as a result of sunsetting as well as any new or modified relief raised by the proposals.

Regulation ASIC
03-Aug-2018

ASIC Consultation Paper 301 Foreign Financial Service Providers

Submission supporting the continuation of the sufficient equivalence and limited connection class order regime, albeit with additional conditions on the relief, and/or a narrowing of the scope of the available relief in order for ASIC to achieve its regulatory objectives, including to strive to maintain, facilitate and improve the performance of the financial system and the entities within that system in the interests of commercial certainty, reducing business costs, and the efficiency and development of the economy. AFMA is strongly of the view that if a foreign AFSL regime is introduced, the licensing process needs to be streamlined and simple for entities that are already licensed in equivalent jurisdictions. An overly onerous application process is likely to be a significant disincentive to offshore entities obtaining a licence and providing services to Australian clients.

Regulation ASIC
15-Aug-2018

ASIC Consultation Paper 302 Proposed changes to capital requirements for market participants

Submission supporting adjustments the capital requirements to reflect underlying risk. Where risks cannot be efficiently calculated on a case by case basis AFMA also supports the use of proxy standard estimates as proposed in a number of cases as an appropriate balance between accuracy and efficiency. There are concerns around the difficulties of calculating cash flows out twelve months in a markets business, and the proper roles of management and boards in relation to managing liquidity risks.

Regulation ASIC
02-Feb-2018

ASIC draft guidance on ASIC Market Integrity Rules for participants of securities markets

Submission on draft guidance in relation to securities market participants’ management plans.

Regulation ASIC
17-Aug-2017

ASIC Enforcement Review – Access to Intercepts

Submission that no change to the current arrangements is warranted in keeping with the previous decisions of Australian governments, on the basis ASIC does not have the appropriate attributes or oversight arrangements to be an interception or recipient agency and administrative convenience is not sufficient policy justification for a change to the law.

Regulation Treasury
17-May-2017

ASIC Enforcement Review – Position and Consultation Paper 1: Self-reporting of contraventions by financial services and credit licensees

Submission addressing the positions set out in the consultation paper – in particular, the time frame in which breaches are to be reported, civil penalties and infringement notices, and objecting to the proposal that ASIC will publish annual data at a licensee level about breach reports without any contextual information about those breaches or how those matters were resolved.

Regulation Treasury
12-Oct-2017

ASIC Enforcement Review - Position and Consultation Paper 6: ASIC’s power to ban senior officials in the financial sector

Submission supporting the wider objectives of the proposed changes to ASIC’s banning powers as outlined in the consultation paper. It is important that the regulatory regime operates in a clear and effective way in the interests of both financial services business and consumers. In order to ensure that the overall regulatory regime is efficient and achieves its objectives, enhancements to any part of the regime should be clear in their application.

Regulation The Treasury
08-Dec-2017

ASIC Enforcement Review – Position Paper 7: Strengthening penalties for corporate and financial sector misconduct

Submission noting that AFMA members are committed to ensuring that markets function fairly and efficiently and properly serve the needs of investors and the wider economy and community within the framework of a regulatory regime is supported by a credible penalty regime. The review of penalties for corporate and financial services misconduct needs to ensure that the penalties are calibrated in a manner that supports both the effective functioning of financial markets and promotes strong public confidence in them. It is important that the right balance is achieved to foster decisions that will enhance the productivity of the financial system and the broader economy, and also to position Australia as a competitive centre for the conduct of financial business.

Regulation The Treasury
26-May-2017

ASIC Supervisory Cost Recovery Regulations 2017

Submission highlighting ongoing difficulty for payees in being able to calculate their levy based on information provided by Treasury and ASIC to date, persistence in linking investment banking and OTC financial products trading, request for urgent clarification of the position of foreign bank branches who do not take retail deposits, and ongoing lack of clarity about treatment of equities and futures market participants and exempt markets.

Regulation Treasury
01-Dec-2017

ASIC’s Direction Powers

Submission that there is insufficient analysis to make out the policy case for the proposed directions powers.

Regulation The Treasury
08-Dec-2017

ASIC’s Fees for Service under the Industry Funding Model

Submission supporting the general principle of fees being applied to demand-driven services provided by ASIC to the regulated population.

Regulation The Treasury
15-Aug-2016

ASX clearing participant minimum core capital requirements

Submission in support of additional capital requirements for own-account business, non-ASX business and client short ETO activity.

Regulation ASX
29-Apr-2016

ASX clearing participants liquidity risk management

AFMA response to ASX consultation paper on clearing participants liquidity risk management framework

Regulation ASX
29-Sep-2016

ASX interest rate derivatives clearing

AFMA submission to ASX consultation paper on interest rate derivatives clearing

Regulation ASX
04-May-2018

ASX Market Management - Consultation Paper

The industry recognises the generally very high level of ASX infrastructure "up time". When there are outages the industry is keen to ensure that any risk of damage to the reputation of Australia's markets and the confidence of users of the markets is minimised. In this regard it is critical that the session states are managed in a clear and optimised way for the market as a whole, in order to create the best outcome for the national interest.

Regulation ASX
11-Oct-2017

ASX-Listed Company Announcements: Processes for Advising of Changes to Security Status. Consultation Paper September 2017

Submission noting that the consultation represents an opportunity to make sensible changes to the design of the interaction between markets. AFMA broadly welcomes the proposed changes as a positive step in evolving the market to a more logical structure given its multi-market nature.

Regulation ASX
28-Jun-2017

AUSTRAC Financial Year 2017/18 Industry Contribution

Submission reiterating concern about the non-applicability of the Government’s own Cost Recovery Guidelines to the AUSTRAC Industry Contribution, particularly given the Industry Contribution measure is now clearly one of cost recovery. Given that AUSTRAC regulatory resources are to be deployed more towards those that create the need for regulation, the 2017/18 Industry Contribution model be reconsidered in light of the allocation of AUSTRAC’s compliance resources for the year.

Regulation AUSTRAC
10-Jun-2016

AUSTRAC FY 2016/17 industry contribution

AFMA submission on revisions to the industry charging model.

Regulation AUSTRAC
22-Jun-2018

AUSTRAC Industry Contribution 2018-19 - Stakeholder Consultation Paper

Submission reiterating previous concerns about industry contribution model and highlighting that only 570 of approximately 14,000 reporting entities pay the entire industry contribution. Although the forward estimates suggest that the amounts to be recovered would decrease each year until 2020-21, that has not occurred this year due to additional funding announced in MYEFO in December 2017 and there is no certainty for industry that the Government will not announce additional funding measures in the coming years.

Regulation AUSTRAC
18-May-2017

Australian Energy Markets Commission Directions Paper – Five Minute Settlement

Submission describing the potential impacts on efficiency and competitiveness of electricity financial markets. The rule change, if implemented, would have far-reaching consequences to the operation of the physical electricity market and the supporting contract markets. Given potential negative liquidity and cost effects, AFMA suggests that the AEMC gives further due consideration and undertakes further analysis before making its draft determination.

Regulation AEMC
20-Apr-2018

Banking Executive Accountability Regime (Size of an Authorised Deposit-taking Institution) Determination 2018 Exposure Draft

Submission recommending that the Government should adjust the thresholds for small and medium ADIs to ensure that small and medium ADIs continue to be well placed to attract and retain talent, compete, and offer a range of services and products.

Regulation Treasury
28-Oct-2016

Banks international exposures reporting

Submission to the APRA discussion paper noting the system upgrades and cost, the difficulty of meeting the implementation date, and the need to co-ordinate with other changes requiring additional reporting.

Regulation APRA
22-Apr-2016

Chi-X TraCRs and QMFs

AFMA response to Chi-X consultation paper about the introduction of Transferable Custody Receipts and Quoted Managed Funds on the Chi-X market

Regulation Chi-X
30-Jun-2016

Client money provisions and margining requirements for wholesale OTC derivatives

Industry submission seeking adjustments to the client money provisions in the Corporations Act so that the margining framework for non-cleared derivatives developed by BCBS-IOSCO functions properly for Australian market participants.

Regulation Treasury
15-Jan-2016

Commissioner of Taxation remedial power

Commissioner of Taxation remedial power

Regulation Treasury
29-Mar-2018

Competition in the Australian financial system

AFMA submission to the Productivity Commission inquiry draft report consultation.

Regulation Productivity Commission
27-Apr-2017

Consultation on Agricultural Lending data collection

No substantive issues about the specific proposal, but noting that questions around the burden and coherence of data collection are currently being debated in the context of the consultation on the Council of Financial Regulators’ Discussion Paper on Economic and Financial Statistics.

Regulation APRA
03-Jul-2018

Consultation on proposed Australian Financial Complaints Authority (AFCA) Rules of Complaint Resolution Scheme

Submission noting that as access to the scheme is not limited to retail clients, and there is no clear carve out for non-retail clients, AFCA should closely monitor the usage of the scheme by small business to identify whether there are any issues related to access to the scheme that could be addressed through further review. All parties should have reasonable notice and opportunity to respond to systemic issues, potential significant contraventions or breaches, and preliminary assessments in relation to complaints within a timeframe that is appropriate to the complexity and circumstances of each matter. The Rules should clarify how the broad powers over remediation of systemic issues could interact with ASIC's powers in relation to remediation, and how AFCA's remit over privacy-related complaints might operate alongside the Office of the Australian Information Commissioner

Regulation AFCA
31-Mar-2017

Consultation on Proposed Reporting Requirements for the Countercyclical Capital Buffer: Reporting Standard ARS 110 – Capital Adequacy

Submission confirming AFMA has no further matters to raise at this time.

Regulation APRA
18-Oct-2017

Consultation on RPG 702.0 ABS/RBA Data Quality for the EFS Collection and Reporting Standard RRS 710.0 ABS/RBA Audit requirements for Registered Financial Corporations

Submission welcoming the revised approach adopted in the draft Reporting Practice Guide as part of the agencies’ response to the consultation on the Economic and Financial Statistics collection. In particular, the adoption of qualitative guidance to replace the previously proposed quantitative standard provides a more workable framework within which to manage the assurance of data quality.

Regulation APRA
01-May-2018

Corporations (Fees) Amendment (ASIC Fees) Bill 2018 and amendments to Corporations (Fees) Regulations 2001 Exposure Draft

Submission reiterating concerns about fees for changes to SEGC operating rules when SEGC is essentially a compensation fund, and inconsistencies between fees for market licensee and CS facility reports.

Regulation Treasury
23-May-2018

Cost Recovery Implementation Statement: Fees for service under the ASIC industry funding model (2018-19) May 2018

Submission noting there is no legislative basis to charge a fee for a market integrity rule waiver as it has been omitted from the Regulations.

Regulation ASIC
02-Dec-2016

CPS 226 Margin requirements for non-centrally cleared derivatives

Submission on a number of definitional and technical issues in CPS 226.

Regulation APRA
06-Jun-2017

CPS 226 Update – Cross-border application of rules

Submission supporting the CPS 226 update but seeking clarification on substituted compliance and risk mitigation assessment.

Regulation APRA
23-Aug-2016

Derivatives Transaction Rules (Reporting) 2013

Submission seeking extension of existing relief under the DTRs for FX securities conversion transactions and for entity information and name information.

Regulation ASIC
11-Feb-2018

Design & Distribution Obligations and Product Intervention Power Draft Legislation and Explanatory Memorandum

Submission in relation to draft legislation.

Regulation The Treasury
15-Aug-2018

Design and Distribution Obligations and Product Intervention Power - draft legislation and explanatory memorandum

Further submission on 2018 Bill reiterating the need to balance compliance cost and regulatory burden and provide greater protections to investors in relation to more complex products. In terms of capital raising it is unclear why the regime distinguishes between ordinary shares and other ordinary securities as these products are used predominantly to provide a basic economic interest in an operating business. Clarity is needed whether distribution by personal advice is carved out of the DDO framework or whether a target market determination (TMD) still has to be produced but can be limited to a statement that distribution to retail investors is via personal advice only. Other issues include concerns about a TMD being misconstrued as disclosure or advice, guidance about the form and content of a TMD, ongoing uncertainty about the reasonable steps test in relation to exchange traded products where there is no relationship between the issuer and the distributor, and a lack of standardisation in relation to record keeping obligations.

Regulation Treasury
08-Mar-2018

Diverted Profits Tax

Joint industry submission in relation to the Diverted Profits Tax draft law companion ruling and draft practical compliance guideline.

Regulation ATO
24-Jun-2016

Diverted profits tax

AFMA submission to Treasury discussion paper about implementing a diverted profits tax.

Taxation Treasury
23-Dec-2016

Diverted Profits Tax Exposure Draft

Submission detailing potential impacts of the DPT on financial markets participants and the proposal to include the DPT in Part IVA.

Taxation Treasury
07-Jun-2016

Draft amendments to Chapter 22 of the AML/CTF Rules

AFMA comments on proposed amendments to the existing Chapter 22 exemption for certain participants in the energy derivatives markets.

Regulation AUSTRAC
31-Jul-2018

Draft amendments to Chapters 4 and 15 of the AML/CTF Rules relating to corporate customers who are custodians

Submission behalf of AFMA members who are intermediaries providing services to an investor directed portfolio service (IDPS), managed discretionary account (MDA) or custodian, supporting the proposed changes as the current requirement to 'look through' to the underlying beneficiaries of the custodial or depository service creates unnecessary duplication of effort and administration.

Regulation AUSTRAC
22-May-2017

Draft AML/CTF Rules: Review of the Act

Submission in relation to the proposed amendments to the AML/CTF Rules arising from the Statutory Review of the AML/CTF Act 2006 and Associated Rules and Regulations conducted by the Attorney-General’s Department.

Regulation AUSTRAC
07-Jul-2016

Draft costings: electronic safe harbour procedures

Further AFMA submission on proposed amendments to Chapter 4 of the AML/CTF Rules to align the electronic safe harbour procedures for customers with those for beneficial owners. AFMA remains supportive of the proposed amendments to the Rules and believes that over the medium to long term they will result in deregulation savings. However, given uncertainty about the quantification of the projected annual savings, we do not support any purported deregulation savings as being used as an offset for additional regulatory burden being imposed on AFMA members in the future

Regulation AUSTRAC
17-Oct-2017

Draft determination – Five minute settlement

Submission noting issues in relation to cost/benefit, potential impacts on financial market liquidity, and the transition period.

Regulation AEMC
21-Aug-2017

Draft Indicative Restructure of the AML/CTF Rules Compilation

Submission supporting the proposed compilation to enhance the accessibility of the AML/CTF Rules. This support is based on the understanding that the compilation will not result in any substantive change to either the Rules or the administration of the Rules and accordingly will not give rise to any requirement for current reporting entities to review their frameworks and ascertain whether any changes are required.

Regulation AUSTRAC
28-Oct-2016

Draft Prudential Standard 210 and Prudential Practice Guide APG 210 – Liquidity

Submission in relation to the treatment of open reverse repo transactions in the Net Stable Funding Ratio, offshore back offices, and the liquid asset requirements for foreign ADIs.

Regulation APRA
29-Mar-2016

Enhanced Protection of Client Money

AFMA has made a submission on the Exposure Draft Corporation Amendment (Client Money) Bill 2016, Regulation and Explanatory Memorandum, in addition to the submission dated 10 February 2016 on broader client money issues

Regulation Treasury
10-Feb-2016

Enhanced protection of client money policy paper - Annexure

Enhanced protection of client money policy paper - Annexure

Regulation Treasury
10-Feb-2016

Enhanced protection of client money policy paper - Cover Letter

Enhanced protection of client money policy paper - Cover Letter

Regulation Treasury
13-Jul-2018

ESB National Energy Guarantee Draft Detailed Design Consultation Paper

Submission agreeing that a key objective of the design of the Guarantee should be to enhance the liquidity, transparency and the level of competition in the retail and wholesale electricity markets. AFMA appreciates the efforts that the ESB has made to engage with stakeholders to ensure that this is the case and urges the ESB to continue to take a flexible approach to achieving the objectives of the Guarantee.

Regulation Energy Security Board
13-May-2016

Exchange traded options (ETO) trade cancellation

AFMA response to ASX consultation paper on the ETO trade cancellation regime

Regulation ASX
29-Sep-2017

Exposure Draft Treasury Laws Amendment (Banking Executive Accountability and Related Measures) Bill 2017 (the Bill) and Explanatory Memorandum (EM)

Submission in relation to the draft Bill and EM on behalf of members who are Australian-owned banks and branches of foreign banks who will be required to comply with BEAR. Comments aimed at supporting the introduction of a regime that achieves the desired policy outcomes but also operates in a readily understandable way, is consistent with similar regimes in other jurisdictions to the extent this is appropriate, and affords individuals who are subject to the regime the level of rights and protections that are a common feature of the Australian legal system and regulatory regimes such as that administered by ASIC.

Regulation The Treasury
15-Sep-2016

FICC Markets Standards Board draft transparency standards

AFMA submission on draft transparency standards for reference price transactions and binary options in commodities markets.

Regulation UK FICC Markets Standards Board
29-Jun-2018

Financial Adviser Standards and Ethics Authority - Proposed Guidance on Education Pathways for Existing Advisers

Submission urging FASEA to recognise different specialisations and advice activities, including financial markets advisers, that do not require the same skills and competencies as financial planning providers. FASEA should adopt a model that sets a minimum (but still appropriately high) standard of qualifications and competency across the sector, but allows for appropriate streaming and specialisation in addition to the minimum standards that are common to all.

Regulation FASEA
01-Jun-2018

Financial Adviser Standards and Ethics Authority Code of Ethics for Financial Advisers - Exposure Draft of Proposed Standard

AFMA strongly supports the implementation of the professional standards for financial advisers regime and the role of FASEA in implementing the regime, but urges FASEA to adopt more specific standards that stipulate appropriate practices and rules of behaviour, in order to avoid inconsistent interpretation by code monitoring bodies and additional costs in implementation.

Regulation FASEA
18-Dec-2017

Financial Sector Crisis Resolution Bill

Submission supporting the Bill to strength APRA’s crisis management and resolution powers consistent with the Financial Stability Board’s Key Attributes of Effective Resolution Regimes.

Regulation Senate Standing Committee on Economics
17-Jan-2018

Foreign Influence Transparency Scheme Bill 2017

Submission on the likely adverse impacts on industry bodies such as AFMA of compliance with the Bill as drafted.

Regulation Parliamentary Joint Committee on Intelligence & Security
02-Feb-2018

Foreign Influence Transparency Scheme Bill 2017

Supplementary submission on the FITS Bill in response to Committee questions.

Regulation Parliamentary Joint Committee on Intelligence and Security
30-Sep-2016

Framework for concerted practices guidelines

AFMA submission on areas that would benefit from additional ACCC guidance.

Regulation ACCC
24-Apr-2018

Further submission on Regulatory Guide 264 - Sell-side research

Submission recommending further adjustments to the guidance in relation to research analyst input to committees due to concerns about the ability of committees to have the benefit of (but not to influence) an independent research analyst's expert and personal assessment of the issuing company, before the IER is widely distributed. AFMA members also believe the restriction is out of kilter with global practices and would result in Australia being the only developed market globally which restricts committees having access to all relevant material, which includes analysts expert views.

Regulation ASIC
03-Jun-2016

GST treatment of digital currency

AFMA submission to Treasury discussion paper on how digital currency should be treated for GST purposes.

Taxation Treasury
25-Aug-2017

Implementing the financial benchmark regulatory regime

Submission on the proposed structure and content of ASIC rules to implement the regulatory regime for financial benchmarks.

Regulation ASIC
22-Dec-2017

Implementing the OECD Hybrid Mismatch Rules

Submission on the Exposure Draft and draft Explanatory Memorandum for the legislation to implement the OECD Hybrid Mismatch Rules in an Australian context.

Taxation The Treasury
06-Apr-2018

Implementing the OECD Hybrid Mismatch Rules - Updated Exposure Draft and Draft Explanatory Memorandum

Submission supporting refinement of the proposed amendments to Part IIIB to implement the branch hybrid mismatch rules in a manner that neutralises a clear hybrid mismatch, but that the deduction would not otherwise be denied to the foreign bank branch. This could potentially be done with reference to the books and records of the branch or where the quantum of the deduction available to the branch does not exceed the amount available assuming Part IIIB did not have any application (i.e. the arm's length amount determined under Subdivision 815-C).

Taxation Treasury
16-Jun-2017

Improving dispute resolution in the financial system

Submission that seeks clarification about the status of AFCA as a statutory body and noting a number of transitional issues.

Regulation Treasury
19-Jan-2017

Increasing Administrative Penalties for Significant Global Entities

Submission noting concerns about the inadequate consultation process for the introduction of these changes, and the need for additional safeguards for significant global entities given the exponential increase in proposed penalties.

Taxation Treasury
13-Mar-2017

Increasing Transparency of Beneficial Ownership of Companies

Submission supporting the objective of increasing transparency in relation to beneficial ownership, and recommending as a general principle that the concept of ‘beneficial ownership’ should be aligned as closely as possible to existing regulatory frameworks, including those for AML/CTF and the ‘relevant interest’ provisions of the Corporations Act.

Regulation Treasury
30-May-2016

Indicator Lending Rate

AFMA feedback on the ATO’s Technical Discussion Paper titled “Income tax: what is the Indicator Lending Rate applicable under subsection 247-20(5) of Division 247 of Part 3-10 of the Income Tax Assessment Act 1997 and subsection 247-80(4) of Division 247 in Part 3-10 of the Income Tax (Transitional Borrowings) Act 1997 in respect of capital protected borrowings (CPBs)?” and the accompanying Draft Taxation Determination

Taxation ATO
15-Jan-2016

Inquiry into interest deductibility

Inquiry into interest deductibility

Taxation Senate Standing Committee on Economics
11-Mar-2016

Inquiry into the External Scrutiny of the Australian Taxation Office

In a submission to the House Standing Committee, AFMA has supported continuing robust governance and accountability arrangements for regulators and government agencies, including the ATO.

Regulation Standing Committee on Tax and Revenue
13-May-2016

Insolvency law and ‘ipso facto’ clauses

AFMA response to National Innovation and Science Agenda – Improving Bankruptcy and Insolvency Law Proposals Paper

Regulation Treasury
26-Apr-2017

Insolvency Law Reform - Stay on enforcing rights because of arrangements or restructures

Submission raising concerns about the harm that would flow from insolvency law reform which curtails creditors’ rights in respect of financial contracts if netting law protections for financial instruments does not override the reforms.

Regulation Treasury
03-Feb-2017

Interim Report on Review of the financial system external dispute resolution and complaints framework

Submission that issues related to small business lending and treatment of small business by financial institutions should not be bought within the scope of retail dispute resolution arrangements, and should be dealt with separately if the government believes it is necessary to do so.

Regulation Treasury
08-Jan-2016

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844 in relation to the requirement to share and pair a universal transaction identifier from 1 Feb

Regulation ASIC
21-Mar-2016

Joint AFMA/ISDA request for ASIC class order relief

AFMA and ISDA have jointly applied to ASIC for class order relief in relation to central clearing of swaps resulting from transactions in swaptions entered into prior to the clearing commencement date

Regulation ASIC
06-Sep-2017

Modernising Business Registry Services

Submission supporting the goals of the National Business Simplification Initiative and the modernisation of business registry services.

Regulation The Treasury
30-Mar-2016

Multinational Anti Avoidance Law (MAAL)

Submission to the ATO outlining the potential application of the MAAL to AFMA members who operate through either a foreign bank branch or subsidiary in Australia, and a request for a risk assessment

Taxation ATO
08-Mar-2018

National Energy Guarantee

Submission on draft NEG design consultation paper.

Regulation Energy Security Board
31-Oct-2016

National Guarantee Fund reform proposal

Submission on options for reform of the NGF including the heads of claim.

Other SEGC
02-May-2018

New APRA data collection solution

Submission supporting solutions that result in minimal cost and disruption to ADIs while still allowing the evolution and improvement of the system. The solution should allow or support smart submission with automatic form completion where appropriate and logical checking of data, and notification of potential errors, should be flexible and extensible, and have user-friendly features to support easy tracking and notification around submission status.

Regulation APRA
23-Mar-2018

Open Banking

Submission in response to the final report into the review of open banking in Australia.

Other The Treasury
17-Sep-2018

Open Banking - Treasury Laws Amendment (Consumer Data Right) Bill 2018

Submission that Open Banking and the Consumer Data Right more generally propose profound changes to the banking and economic environment, and encouraging the Government not to rush consideration of these changes and risk unintended consequences. Given the types of risks associated with banking as well as business and consumer data, the investment of extra time now is the best option and could help minimize the risk of serious problems arising later. Proper consideration of the proposals requires a whole-of-government approach including with APRA, Home Affairs, ASIC, RBA and AUSTRAC combined with deep engagement with industry over an extended period and will require a consideration of prudential matters, financial system stability matters, privacy, market integrity, compatibility with money laundering and counter terrorism programs, and the potential micro- and macro-economic impact.

Regulation Treasury
09-Dec-2016

Privacy implications re collection of KYC information from sources other than the customer

Comments on the draft Privacy Guidance for collecting KYC information, in particular that the guidance will impose significant restrictions on the ability of reporting entities to use the optional procedure to collect information.

Regulation AUSTRAC
23-Jun-2017

Proposed Financial Institutions Supervisory Levies 2017-18

Submission highlighting an increased levy burden on ADIs, where it is the activities non-ADIs in the provision of credit that have given rise to the need for extra powers to mitigate systemic risks.

Regulation Treasury
08-Jun-2018

Proposed Financial Institutions Supervisory Levies for 2018-19

Submission noting that the proposed levies further reduce the maximum and the restricted levy rate applied to the foreign branch ADIs from one third of that for a domestic ADI to one fifth. This follows on from a reduction in the maximum and the restricted levy rate applied to foreign ADIs from one half of that for domestic ADIs to one third in FY 2017-18. The stated purpose of this change in calculation parameters is to better reflect the cost of supervision of these institutions. This approach is consistent with the position advocated by AFMA that the supervisory levies should reflect bank risks and the cost of regulation by APRA.

Regulation Treasury
19-Dec-2016

Proposed Industry Funding Model for ASIC – Submission to the Second Consultation

Submission to Treasury consultation following on from previous submissions that continues to press for appropriate accountability and transparency arrangements. The submission also details problems with the proposed levy arrangements for investment banks, entities that trade in OTC financial products, and message based charges for futures and derivatives transactions.

Regulation Treasury
05-Jul-2017

Proposed revisions to Prudential Standard APS 221 Large Exposures

Submission about the reporting of large exposures of the Australian operations of the foreign ADI, groups of connected counterparties, the definition of total exposure, the implementation timeline and cost/benefit analysis.

Regulation APRA
12-May-2017

Proposed Revisions to Reporting Standard ARS 210.0 Liquidity

Submission seeking reconsideration of the reporting basis as being the last business day or the last calendar day of the reporting period, guidance on a range of technical issues and clarification on interaction with other reporting standards.

Regulation APRA
10-Oct-2016

RBA RITS Regulation rewrite

Submission in relation to the requirement to notify about change of jurisdiction of incorporation, RBA failure to notify certain matters, and definitional issues.

Regulation RBA
25-Jul-2017

Reform of the Regulation of Financial Benchmarks

Submission focussing on the proposed offence provisions - in particular sections 908DA, 908DB, and 908DC.

Regulation Treasury
09-Dec-2016

Regulator Performance Framework

Response to ASIC request for feedback.

Regulation ASIC
11-Nov-2016

Replacement of CHESS for equity post-trade services

Submission to the ASX consultation paper on business requirements for the replacement of CHESS

Other ASX
06-Jun-2018

Reserve Bank of New Zealand Consultation Paper: Authorisations for the use of restricted words by overseas banks

Submission supporting the need for a formal public register of authorised overseas banks conducting activities in New Zealand, and the objectives regarding clarity for consumers. However because the non-objection letters currently issued by RBNZ often cover very specific and minor activities, therefore justifying the exemption from registration for a number of entities, we recommend that obligations for and related to authorisation should continue to be managed proportionately according to an entity's level of activity in New Zealand.

Regulation RBNZ
05-Feb-2016

Resilience and collateral protection amendments

Resilience and collateral protection amendments

Regulation Treasury
29-Sep-2017

Response to APRA discussion paper: Counterparty Credit Risk for ADIs

Submission commenting on aspects of the Prudential Standards referenced in the discussion paper, and particularly the reporting forms which accompany the new Prudential Standard APS 180 Capital Adequacy: Counterparty Credit Risk (APS 180).

Regulation APRA
30-Mar-2017

Response to Treasury Proposals Paper - Design & Distribution Obligations, Product Intervention Power

Submission to the Proposals Paper that argues for greater alignment of proposed ‘issuer’ and ‘distributor’ obligations with existing AFSL and other obligations under the Corporations Act, and the removal of certain proposed requirements for issuers to have more control over the behaviour of distributors, as this is not commercially feasible or possible in many cases. The use of the product intervention power requires significant clarification and should not overlap with or duplicate existing powers.

Regulation Treasury
10-Oct-2016

Review of the financial system external dispute resolution framework

AFMA submission seeking alignment of the EDR framework with the Corporations Act provisions re the treatment of wholesale clients.

Regulation Treasury
30-Sep-2016

Significant Global Entities Lodging General Purpose Financial Statements ATO Discussion Paper

Submission focusing on the issues arising for AFMA members that are headquartered outside of Australia, particularly those that operate in Australia through a permanent establishment as opposed to a separately Australian incorporated entity.

Taxation ATO
19-Feb-2016

Special review second draft report – Australia’s climate policy options

Special review second draft report – Australia’s climate policy options

Other Climate Change Authority
20-Apr-2017

Stapled Structures

Joint submission with the Australian Bankers Association on the Treasury consultation paper about stapled structures, focussing on issues arising for those entities that provide debt finance to stapled structures, as opposed to the issues and perspectives of equity participants in such structures (i.e. the owners of the shares in the company or units in the trust that comprise the staple).

Taxation Treasury
29-Jul-2016

Submission to Productivity Commission Inquiry into Data Availability and Use

This submission discusses the efficiency of public and private data provision and its use with particular reference to the role of financial markets in the Australian economy. It notes that the data currently collected on financial markets by regulators can be used more effectively. The submission also suggests some low cost ways in which government legislation and spending could be made more transparent, facilitating improved public policy.

Regulation Productivity Commission
29-Feb-2016

Tax incentives for early stage investors

Tax incentives for early stage investors

Taxation Treasury
17-Jan-2017

Transparency Draft – New Issue Process Standard

AFMA letter to the UK FICC Markets Standards Board acknowledging the release of the Transparency Draft – New Issue Process Standard for Fixed Income Markets.

Regulation FICC Market Standards Board
17-Aug-2018

Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018

Submission in relation to the proposed amendments to the Taxation Administration Act 1953 to bring within scope of the third party reporting requirements payments made by entities that supply an information technology service to another entity wholly or partly for the supply of an information technology service, noting the proposed exception for payments made to members of the same consolidated group or MEC group. AFMA suggests that the proposed exception be broadened to capture payments made to members of the same economic group, which could be done in a manner consistent with the Significant Global Entity definition ie. by including within the exception payments made to entities that are within the same accounting consolidated group.

Regulation Treasury
01-Mar-2017

Treasury Laws Amendment (Combating Multinational Tax Avoidance) Bill 2017 Diverted Profits Tax Bill 2017

Submission to the Senate Standing Committee on Economics inquiry on the MAAL and DPT Bills, highlighting that the operation of the Diverted Profits Tax should not expand the existing law, there should be no double assessments, and legislative protections should be in place for taxpayers given the significant increase in penalties.

Taxation Senate Standing Committee on Economics
23-Sep-2016

Treasury Laws Amendment (Enterprise Tax Plan) Bill 2016

Submission supporting the proposed phased-in reduction of Australia’s corporate tax rate to 25% for all corporates over a ten-year horizon.

Taxation Senate Standing Committee on Economics
13-Jul-2018

Updates to AUSTRAC Compliance Guide re self-attestation of identity; independent review of AML/CTF programs

Submission commenting on proposed changes to the requirements for review of AML/CTF programs, including the independence of the reviewer, the matters to be reviewed, the frequency of reviews and factors that might increase the frequency of review.

Regulation AUSTRAC
02-Feb-2016

Voluntary tax transparency code

Voluntary tax transparency code

Taxation Board of Taxation
Date Title & Summary Topic Area Sent to
05-Feb-2016

2016-17 pre-budget submission

2016-17 pre-budget submission

Other Treasury
19-Jan-2017

2017-18 Pre-Budget Submission

Submission to Treasury in relation to financial markets issues to assist in the formulation of the 2017-18 Budget.

Taxation Treasury
31-Jan-2018

2018-19 Pre-Budget Submission

Submission on matters for consideration in the formulation of the FY2018-19 Budget strategy.

Taxation The Treasury
06-Jul-2016

Admission requirements for listed entities

AFMA submission supporting proposed changes to the ASX listings standards which are critical to the integrity of equity exchange markets and the trust and confidence investors have in them. A key area of responsibility for exchanges is determining what instruments to admit to trading and the basis on which to admit them. The International Organization of Securities Commissions (IOSCO) Objectives and principles of securities regulation states that admission standards for issuers and participants are to be robust and administered in a fair and transparent way. ASX under the market operator provisions of the Corporation Act has a statutory obligation to robustly administer the qualification process for listing, and ensure listed entities meet their ongoing obligations to investors under the listing rules.

Regulation ASX
11-Nov-2016

AML/CTF Act review

Submission in relation to the draft project plan for implementation of the recommendations of the statutory review of the AML/CTF regime

Regulation Attorney General's Department
14-Feb-2017

AML/CTF Statutory Review Implementation Phase 1 Amendments

Submission on financial markets issues in the proposed Phase 1 amendments to the AML/CTF Act.

Regulation Attorney-General's Department
02-Aug-2018

Application of CPS226 to physically settled precious metals forwards

Submission requesting APRA to allow an 'APRA covered entity' to exclude physically settled precious metals forwards from the posting and collecting of initial margin under CPS 226, due to the inconsistency between how APRA treats precious metals forwards under CPS226 and margining product capture in other G20 countries, and how this inconsistency affects the business of APRA covered entities and could lead to regulatory arbitrage and an uneven playing field between competitors in different jurisdictions.

Regulation APRA
18-Apr-2017

APRA Economic & Financial Statistics

Submission seeking delay on implementation of the reporting regime until 1 July 2019, a shortened parallel run period of 3 months, reconsideration of the level of assurance required, a carve out for foreign ADIs from the cost of funds requirements, and concerns about the cost of implementation with little apparent benefit for industry.

Regulation APRA
07-Jun-2018

APRA Information Security Management Discussion Paper

Submission noting that information security is the primary security matter for banks and financial markets participants, and supporting the extension of the prudential standards to information security matters where it is done in a coordinated way that fits well with the other regulatory and legislative initiatives underway. There is a need to ensure there is appropriate coordination with the proposed Government requirements to open up customer data to many more firms under the Open Banking framework which applies to information customers have requested be released to third parties including non-ADI firms, as data will be transferred from entities subject to APRA's information security requirements such as in CPS 234 and CPG 235, to entities that are not.

Regulation APRA
08-Sep-2017

APRA’s Crisis Management Powers

Submission giving in principle support to the strengthening of APRA’s powers consistent with the Financial Stability Board’s (FSB) Key Attributes of Effective Resolution Regimes (Key Attributes), but noting the limited time to make an effective assessment of the integrity of the Draft Bill.

Regulation The Treasury
05-Dec-2016

ASIC Consultation Paper 268 – Licensing relief for foreign financial service providers with a limited connection to Australia

Submission arguing that CO 03/824 relief should not be repealed as it continues to serve an important regulatory purpose, and the Corporations Regulations are not a complete substitute for the relief provided by the class order. The scope and purpose of the class order should be clarified as needed to achieve ASIC’s regulatory aims.

Regulation ASIC
17-Mar-2017

ASIC Consultation Paper 277

Submission supporting the consolidation of a number of Market Integrity Rule books into 4 rule books, but noting the problematic short consultation period given that the consolidation project has been underway for several years.

Regulation ASIC
31-May-2017

ASIC Consultation Paper 281 – Financial Services Panel

Submission supporting the establishment of a panel but highlighting the need to ensure appropriately qualified and experienced people constitute the panel particularly of non-retail and OTC matters are to be included in scope.

Regulation ASIC
18-Sep-2017

ASIC Consultation Paper 290 – Sell-side Research

Submission on a range of matters arising from proposed guidance on handling conflicts between corporate advisory and sell-side research.

Regulation ASIC
29-Jun-2018

ASIC Consultation Paper 299: Short selling - Reliefs and Orders

Submission in relation to ASIC review of existing relief from the naked short selling prohibition provided to market makers of certain exchange traded products (ETPs); the granting of legislative relief from the naked short selling prohibition in the context of corporate actions and initial public offering (IPO) sell-downs; changing the relevant time short positions are calculated; and remaking a number of class orders on short selling which are due to sunset soon after 10 years. An important aspect of ASIC's review is to consolidate all short selling relief into a single instrument, including relief that is to be remade as a result of sunsetting as well as any new or modified relief raised by the proposals.

Regulation ASIC
03-Aug-2018

ASIC Consultation Paper 301 Foreign Financial Service Providers

Submission supporting the continuation of the sufficient equivalence and limited connection class order regime, albeit with additional conditions on the relief, and/or a narrowing of the scope of the available relief in order for ASIC to achieve its regulatory objectives, including to strive to maintain, facilitate and improve the performance of the financial system and the entities within that system in the interests of commercial certainty, reducing business costs, and the efficiency and development of the economy. AFMA is strongly of the view that if a foreign AFSL regime is introduced, the licensing process needs to be streamlined and simple for entities that are already licensed in equivalent jurisdictions. An overly onerous application process is likely to be a significant disincentive to offshore entities obtaining a licence and providing services to Australian clients.

Regulation ASIC
15-Aug-2018

ASIC Consultation Paper 302 Proposed changes to capital requirements for market participants

Submission supporting adjustments the capital requirements to reflect underlying risk. Where risks cannot be efficiently calculated on a case by case basis AFMA also supports the use of proxy standard estimates as proposed in a number of cases as an appropriate balance between accuracy and efficiency. There are concerns around the difficulties of calculating cash flows out twelve months in a markets business, and the proper roles of management and boards in relation to managing liquidity risks.

Regulation ASIC
02-Feb-2018

ASIC draft guidance on ASIC Market Integrity Rules for participants of securities markets

Submission on draft guidance in relation to securities market participants’ management plans.

Regulation ASIC
17-Aug-2017

ASIC Enforcement Review – Access to Intercepts

Submission that no change to the current arrangements is warranted in keeping with the previous decisions of Australian governments, on the basis ASIC does not have the appropriate attributes or oversight arrangements to be an interception or recipient agency and administrative convenience is not sufficient policy justification for a change to the law.

Regulation Treasury
17-May-2017

ASIC Enforcement Review – Position and Consultation Paper 1: Self-reporting of contraventions by financial services and credit licensees

Submission addressing the positions set out in the consultation paper – in particular, the time frame in which breaches are to be reported, civil penalties and infringement notices, and objecting to the proposal that ASIC will publish annual data at a licensee level about breach reports without any contextual information about those breaches or how those matters were resolved.

Regulation Treasury
12-Oct-2017

ASIC Enforcement Review - Position and Consultation Paper 6: ASIC’s power to ban senior officials in the financial sector

Submission supporting the wider objectives of the proposed changes to ASIC’s banning powers as outlined in the consultation paper. It is important that the regulatory regime operates in a clear and effective way in the interests of both financial services business and consumers. In order to ensure that the overall regulatory regime is efficient and achieves its objectives, enhancements to any part of the regime should be clear in their application.

Regulation The Treasury
08-Dec-2017

ASIC Enforcement Review – Position Paper 7: Strengthening penalties for corporate and financial sector misconduct

Submission noting that AFMA members are committed to ensuring that markets function fairly and efficiently and properly serve the needs of investors and the wider economy and community within the framework of a regulatory regime is supported by a credible penalty regime. The review of penalties for corporate and financial services misconduct needs to ensure that the penalties are calibrated in a manner that supports both the effective functioning of financial markets and promotes strong public confidence in them. It is important that the right balance is achieved to foster decisions that will enhance the productivity of the financial system and the broader economy, and also to position Australia as a competitive centre for the conduct of financial business.

Regulation The Treasury
26-May-2017

ASIC Supervisory Cost Recovery Regulations 2017

Submission highlighting ongoing difficulty for payees in being able to calculate their levy based on information provided by Treasury and ASIC to date, persistence in linking investment banking and OTC financial products trading, request for urgent clarification of the position of foreign bank branches who do not take retail deposits, and ongoing lack of clarity about treatment of equities and futures market participants and exempt markets.

Regulation Treasury
01-Dec-2017

ASIC’s Direction Powers

Submission that there is insufficient analysis to make out the policy case for the proposed directions powers.

Regulation The Treasury
08-Dec-2017

ASIC’s Fees for Service under the Industry Funding Model

Submission supporting the general principle of fees being applied to demand-driven services provided by ASIC to the regulated population.

Regulation The Treasury
15-Aug-2016

ASX clearing participant minimum core capital requirements

Submission in support of additional capital requirements for own-account business, non-ASX business and client short ETO activity.

Regulation ASX
29-Apr-2016

ASX clearing participants liquidity risk management

AFMA response to ASX consultation paper on clearing participants liquidity risk management framework

Regulation ASX
29-Sep-2016

ASX interest rate derivatives clearing

AFMA submission to ASX consultation paper on interest rate derivatives clearing

Regulation ASX
04-May-2018

ASX Market Management - Consultation Paper

The industry recognises the generally very high level of ASX infrastructure "up time". When there are outages the industry is keen to ensure that any risk of damage to the reputation of Australia's markets and the confidence of users of the markets is minimised. In this regard it is critical that the session states are managed in a clear and optimised way for the market as a whole, in order to create the best outcome for the national interest.

Regulation ASX
11-Oct-2017

ASX-Listed Company Announcements: Processes for Advising of Changes to Security Status. Consultation Paper September 2017

Submission noting that the consultation represents an opportunity to make sensible changes to the design of the interaction between markets. AFMA broadly welcomes the proposed changes as a positive step in evolving the market to a more logical structure given its multi-market nature.

Regulation ASX
28-Jun-2017

AUSTRAC Financial Year 2017/18 Industry Contribution

Submission reiterating concern about the non-applicability of the Government’s own Cost Recovery Guidelines to the AUSTRAC Industry Contribution, particularly given the Industry Contribution measure is now clearly one of cost recovery. Given that AUSTRAC regulatory resources are to be deployed more towards those that create the need for regulation, the 2017/18 Industry Contribution model be reconsidered in light of the allocation of AUSTRAC’s compliance resources for the year.

Regulation AUSTRAC
10-Jun-2016

AUSTRAC FY 2016/17 industry contribution

AFMA submission on revisions to the industry charging model.

Regulation AUSTRAC
22-Jun-2018

AUSTRAC Industry Contribution 2018-19 - Stakeholder Consultation Paper

Submission reiterating previous concerns about industry contribution model and highlighting that only 570 of approximately 14,000 reporting entities pay the entire industry contribution. Although the forward estimates suggest that the amounts to be recovered would decrease each year until 2020-21, that has not occurred this year due to additional funding announced in MYEFO in December 2017 and there is no certainty for industry that the Government will not announce additional funding measures in the coming years.

Regulation AUSTRAC
18-May-2017

Australian Energy Markets Commission Directions Paper – Five Minute Settlement

Submission describing the potential impacts on efficiency and competitiveness of electricity financial markets. The rule change, if implemented, would have far-reaching consequences to the operation of the physical electricity market and the supporting contract markets. Given potential negative liquidity and cost effects, AFMA suggests that the AEMC gives further due consideration and undertakes further analysis before making its draft determination.

Regulation AEMC
20-Apr-2018

Banking Executive Accountability Regime (Size of an Authorised Deposit-taking Institution) Determination 2018 Exposure Draft

Submission recommending that the Government should adjust the thresholds for small and medium ADIs to ensure that small and medium ADIs continue to be well placed to attract and retain talent, compete, and offer a range of services and products.

Regulation Treasury
28-Oct-2016

Banks international exposures reporting

Submission to the APRA discussion paper noting the system upgrades and cost, the difficulty of meeting the implementation date, and the need to co-ordinate with other changes requiring additional reporting.

Regulation APRA
22-Apr-2016

Chi-X TraCRs and QMFs

AFMA response to Chi-X consultation paper about the introduction of Transferable Custody Receipts and Quoted Managed Funds on the Chi-X market

Regulation Chi-X
30-Jun-2016

Client money provisions and margining requirements for wholesale OTC derivatives

Industry submission seeking adjustments to the client money provisions in the Corporations Act so that the margining framework for non-cleared derivatives developed by BCBS-IOSCO functions properly for Australian market participants.

Regulation Treasury
15-Jan-2016

Commissioner of Taxation remedial power

Commissioner of Taxation remedial power

Regulation Treasury
29-Mar-2018

Competition in the Australian financial system

AFMA submission to the Productivity Commission inquiry draft report consultation.

Regulation Productivity Commission
27-Apr-2017

Consultation on Agricultural Lending data collection

No substantive issues about the specific proposal, but noting that questions around the burden and coherence of data collection are currently being debated in the context of the consultation on the Council of Financial Regulators’ Discussion Paper on Economic and Financial Statistics.

Regulation APRA
03-Jul-2018

Consultation on proposed Australian Financial Complaints Authority (AFCA) Rules of Complaint Resolution Scheme

Submission noting that as access to the scheme is not limited to retail clients, and there is no clear carve out for non-retail clients, AFCA should closely monitor the usage of the scheme by small business to identify whether there are any issues related to access to the scheme that could be addressed through further review. All parties should have reasonable notice and opportunity to respond to systemic issues, potential significant contraventions or breaches, and preliminary assessments in relation to complaints within a timeframe that is appropriate to the complexity and circumstances of each matter. The Rules should clarify how the broad powers over remediation of systemic issues could interact with ASIC's powers in relation to remediation, and how AFCA's remit over privacy-related complaints might operate alongside the Office of the Australian Information Commissioner

Regulation AFCA
31-Mar-2017

Consultation on Proposed Reporting Requirements for the Countercyclical Capital Buffer: Reporting Standard ARS 110 – Capital Adequacy

Submission confirming AFMA has no further matters to raise at this time.

Regulation APRA
18-Oct-2017

Consultation on RPG 702.0 ABS/RBA Data Quality for the EFS Collection and Reporting Standard RRS 710.0 ABS/RBA Audit requirements for Registered Financial Corporations

Submission welcoming the revised approach adopted in the draft Reporting Practice Guide as part of the agencies’ response to the consultation on the Economic and Financial Statistics collection. In particular, the adoption of qualitative guidance to replace the previously proposed quantitative standard provides a more workable framework within which to manage the assurance of data quality.

Regulation APRA
01-May-2018

Corporations (Fees) Amendment (ASIC Fees) Bill 2018 and amendments to Corporations (Fees) Regulations 2001 Exposure Draft

Submission reiterating concerns about fees for changes to SEGC operating rules when SEGC is essentially a compensation fund, and inconsistencies between fees for market licensee and CS facility reports.

Regulation Treasury
23-May-2018

Cost Recovery Implementation Statement: Fees for service under the ASIC industry funding model (2018-19) May 2018

Submission noting there is no legislative basis to charge a fee for a market integrity rule waiver as it has been omitted from the Regulations.

Regulation ASIC
02-Dec-2016

CPS 226 Margin requirements for non-centrally cleared derivatives

Submission on a number of definitional and technical issues in CPS 226.

Regulation APRA
06-Jun-2017

CPS 226 Update – Cross-border application of rules

Submission supporting the CPS 226 update but seeking clarification on substituted compliance and risk mitigation assessment.

Regulation APRA
23-Aug-2016

Derivatives Transaction Rules (Reporting) 2013

Submission seeking extension of existing relief under the DTRs for FX securities conversion transactions and for entity information and name information.

Regulation ASIC
11-Feb-2018

Design & Distribution Obligations and Product Intervention Power Draft Legislation and Explanatory Memorandum

Submission in relation to draft legislation.

Regulation The Treasury
15-Aug-2018

Design and Distribution Obligations and Product Intervention Power - draft legislation and explanatory memorandum

Further submission on 2018 Bill reiterating the need to balance compliance cost and regulatory burden and provide greater protections to investors in relation to more complex products. In terms of capital raising it is unclear why the regime distinguishes between ordinary shares and other ordinary securities as these products are used predominantly to provide a basic economic interest in an operating business. Clarity is needed whether distribution by personal advice is carved out of the DDO framework or whether a target market determination (TMD) still has to be produced but can be limited to a statement that distribution to retail investors is via personal advice only. Other issues include concerns about a TMD being misconstrued as disclosure or advice, guidance about the form and content of a TMD, ongoing uncertainty about the reasonable steps test in relation to exchange traded products where there is no relationship between the issuer and the distributor, and a lack of standardisation in relation to record keeping obligations.

Regulation Treasury
08-Mar-2018

Diverted Profits Tax

Joint industry submission in relation to the Diverted Profits Tax draft law companion ruling and draft practical compliance guideline.

Regulation ATO
24-Jun-2016

Diverted profits tax

AFMA submission to Treasury discussion paper about implementing a diverted profits tax.

Taxation Treasury
23-Dec-2016

Diverted Profits Tax Exposure Draft

Submission detailing potential impacts of the DPT on financial markets participants and the proposal to include the DPT in Part IVA.

Taxation Treasury
07-Jun-2016

Draft amendments to Chapter 22 of the AML/CTF Rules

AFMA comments on proposed amendments to the existing Chapter 22 exemption for certain participants in the energy derivatives markets.

Regulation AUSTRAC
31-Jul-2018

Draft amendments to Chapters 4 and 15 of the AML/CTF Rules relating to corporate customers who are custodians

Submission behalf of AFMA members who are intermediaries providing services to an investor directed portfolio service (IDPS), managed discretionary account (MDA) or custodian, supporting the proposed changes as the current requirement to 'look through' to the underlying beneficiaries of the custodial or depository service creates unnecessary duplication of effort and administration.

Regulation AUSTRAC
22-May-2017

Draft AML/CTF Rules: Review of the Act

Submission in relation to the proposed amendments to the AML/CTF Rules arising from the Statutory Review of the AML/CTF Act 2006 and Associated Rules and Regulations conducted by the Attorney-General’s Department.

Regulation AUSTRAC
07-Jul-2016

Draft costings: electronic safe harbour procedures

Further AFMA submission on proposed amendments to Chapter 4 of the AML/CTF Rules to align the electronic safe harbour procedures for customers with those for beneficial owners. AFMA remains supportive of the proposed amendments to the Rules and believes that over the medium to long term they will result in deregulation savings. However, given uncertainty about the quantification of the projected annual savings, we do not support any purported deregulation savings as being used as an offset for additional regulatory burden being imposed on AFMA members in the future

Regulation AUSTRAC
17-Oct-2017

Draft determination – Five minute settlement

Submission noting issues in relation to cost/benefit, potential impacts on financial market liquidity, and the transition period.

Regulation AEMC
21-Aug-2017

Draft Indicative Restructure of the AML/CTF Rules Compilation

Submission supporting the proposed compilation to enhance the accessibility of the AML/CTF Rules. This support is based on the understanding that the compilation will not result in any substantive change to either the Rules or the administration of the Rules and accordingly will not give rise to any requirement for current reporting entities to review their frameworks and ascertain whether any changes are required.

Regulation AUSTRAC
28-Oct-2016

Draft Prudential Standard 210 and Prudential Practice Guide APG 210 – Liquidity

Submission in relation to the treatment of open reverse repo transactions in the Net Stable Funding Ratio, offshore back offices, and the liquid asset requirements for foreign ADIs.

Regulation APRA
29-Mar-2016

Enhanced Protection of Client Money

AFMA has made a submission on the Exposure Draft Corporation Amendment (Client Money) Bill 2016, Regulation and Explanatory Memorandum, in addition to the submission dated 10 February 2016 on broader client money issues

Regulation Treasury
10-Feb-2016

Enhanced protection of client money policy paper - Annexure

Enhanced protection of client money policy paper - Annexure

Regulation Treasury
10-Feb-2016

Enhanced protection of client money policy paper - Cover Letter

Enhanced protection of client money policy paper - Cover Letter

Regulation Treasury
13-Jul-2018

ESB National Energy Guarantee Draft Detailed Design Consultation Paper

Submission agreeing that a key objective of the design of the Guarantee should be to enhance the liquidity, transparency and the level of competition in the retail and wholesale electricity markets. AFMA appreciates the efforts that the ESB has made to engage with stakeholders to ensure that this is the case and urges the ESB to continue to take a flexible approach to achieving the objectives of the Guarantee.

Regulation Energy Security Board
13-May-2016

Exchange traded options (ETO) trade cancellation

AFMA response to ASX consultation paper on the ETO trade cancellation regime

Regulation ASX
29-Sep-2017

Exposure Draft Treasury Laws Amendment (Banking Executive Accountability and Related Measures) Bill 2017 (the Bill) and Explanatory Memorandum (EM)

Submission in relation to the draft Bill and EM on behalf of members who are Australian-owned banks and branches of foreign banks who will be required to comply with BEAR. Comments aimed at supporting the introduction of a regime that achieves the desired policy outcomes but also operates in a readily understandable way, is consistent with similar regimes in other jurisdictions to the extent this is appropriate, and affords individuals who are subject to the regime the level of rights and protections that are a common feature of the Australian legal system and regulatory regimes such as that administered by ASIC.

Regulation The Treasury
15-Sep-2016

FICC Markets Standards Board draft transparency standards

AFMA submission on draft transparency standards for reference price transactions and binary options in commodities markets.

Regulation UK FICC Markets Standards Board
29-Jun-2018

Financial Adviser Standards and Ethics Authority - Proposed Guidance on Education Pathways for Existing Advisers

Submission urging FASEA to recognise different specialisations and advice activities, including financial markets advisers, that do not require the same skills and competencies as financial planning providers. FASEA should adopt a model that sets a minimum (but still appropriately high) standard of qualifications and competency across the sector, but allows for appropriate streaming and specialisation in addition to the minimum standards that are common to all.

Regulation FASEA
01-Jun-2018

Financial Adviser Standards and Ethics Authority Code of Ethics for Financial Advisers - Exposure Draft of Proposed Standard

AFMA strongly supports the implementation of the professional standards for financial advisers regime and the role of FASEA in implementing the regime, but urges FASEA to adopt more specific standards that stipulate appropriate practices and rules of behaviour, in order to avoid inconsistent interpretation by code monitoring bodies and additional costs in implementation.

Regulation FASEA
18-Dec-2017

Financial Sector Crisis Resolution Bill

Submission supporting the Bill to strength APRA’s crisis management and resolution powers consistent with the Financial Stability Board’s Key Attributes of Effective Resolution Regimes.

Regulation Senate Standing Committee on Economics
17-Jan-2018

Foreign Influence Transparency Scheme Bill 2017

Submission on the likely adverse impacts on industry bodies such as AFMA of compliance with the Bill as drafted.

Regulation Parliamentary Joint Committee on Intelligence & Security
02-Feb-2018

Foreign Influence Transparency Scheme Bill 2017

Supplementary submission on the FITS Bill in response to Committee questions.

Regulation Parliamentary Joint Committee on Intelligence and Security
30-Sep-2016

Framework for concerted practices guidelines

AFMA submission on areas that would benefit from additional ACCC guidance.

Regulation ACCC
24-Apr-2018

Further submission on Regulatory Guide 264 - Sell-side research

Submission recommending further adjustments to the guidance in relation to research analyst input to committees due to concerns about the ability of committees to have the benefit of (but not to influence) an independent research analyst's expert and personal assessment of the issuing company, before the IER is widely distributed. AFMA members also believe the restriction is out of kilter with global practices and would result in Australia being the only developed market globally which restricts committees having access to all relevant material, which includes analysts expert views.

Regulation ASIC
03-Jun-2016

GST treatment of digital currency

AFMA submission to Treasury discussion paper on how digital currency should be treated for GST purposes.

Taxation Treasury
25-Aug-2017

Implementing the financial benchmark regulatory regime

Submission on the proposed structure and content of ASIC rules to implement the regulatory regime for financial benchmarks.

Regulation ASIC
22-Dec-2017

Implementing the OECD Hybrid Mismatch Rules

Submission on the Exposure Draft and draft Explanatory Memorandum for the legislation to implement the OECD Hybrid Mismatch Rules in an Australian context.

Taxation The Treasury
06-Apr-2018

Implementing the OECD Hybrid Mismatch Rules - Updated Exposure Draft and Draft Explanatory Memorandum

Submission supporting refinement of the proposed amendments to Part IIIB to implement the branch hybrid mismatch rules in a manner that neutralises a clear hybrid mismatch, but that the deduction would not otherwise be denied to the foreign bank branch. This could potentially be done with reference to the books and records of the branch or where the quantum of the deduction available to the branch does not exceed the amount available assuming Part IIIB did not have any application (i.e. the arm's length amount determined under Subdivision 815-C).

Taxation Treasury
16-Jun-2017

Improving dispute resolution in the financial system

Submission that seeks clarification about the status of AFCA as a statutory body and noting a number of transitional issues.

Regulation Treasury
19-Jan-2017

Increasing Administrative Penalties for Significant Global Entities

Submission noting concerns about the inadequate consultation process for the introduction of these changes, and the need for additional safeguards for significant global entities given the exponential increase in proposed penalties.

Taxation Treasury
13-Mar-2017

Increasing Transparency of Beneficial Ownership of Companies

Submission supporting the objective of increasing transparency in relation to beneficial ownership, and recommending as a general principle that the concept of ‘beneficial ownership’ should be aligned as closely as possible to existing regulatory frameworks, including those for AML/CTF and the ‘relevant interest’ provisions of the Corporations Act.

Regulation Treasury
30-May-2016

Indicator Lending Rate

AFMA feedback on the ATO’s Technical Discussion Paper titled “Income tax: what is the Indicator Lending Rate applicable under subsection 247-20(5) of Division 247 of Part 3-10 of the Income Tax Assessment Act 1997 and subsection 247-80(4) of Division 247 in Part 3-10 of the Income Tax (Transitional Borrowings) Act 1997 in respect of capital protected borrowings (CPBs)?” and the accompanying Draft Taxation Determination

Taxation ATO
15-Jan-2016

Inquiry into interest deductibility

Inquiry into interest deductibility

Taxation Senate Standing Committee on Economics
11-Mar-2016

Inquiry into the External Scrutiny of the Australian Taxation Office

In a submission to the House Standing Committee, AFMA has supported continuing robust governance and accountability arrangements for regulators and government agencies, including the ATO.

Regulation Standing Committee on Tax and Revenue
13-May-2016

Insolvency law and ‘ipso facto’ clauses

AFMA response to National Innovation and Science Agenda – Improving Bankruptcy and Insolvency Law Proposals Paper

Regulation Treasury
26-Apr-2017

Insolvency Law Reform - Stay on enforcing rights because of arrangements or restructures

Submission raising concerns about the harm that would flow from insolvency law reform which curtails creditors’ rights in respect of financial contracts if netting law protections for financial instruments does not override the reforms.

Regulation Treasury
03-Feb-2017

Interim Report on Review of the financial system external dispute resolution and complaints framework

Submission that issues related to small business lending and treatment of small business by financial institutions should not be bought within the scope of retail dispute resolution arrangements, and should be dealt with separately if the government believes it is necessary to do so.

Regulation Treasury
08-Jan-2016

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844

Joint AFMA/ISDA application for continuation of relief under ASIC Instrument 2015/844 in relation to the requirement to share and pair a universal transaction identifier from 1 Feb

Regulation ASIC
21-Mar-2016

Joint AFMA/ISDA request for ASIC class order relief

AFMA and ISDA have jointly applied to ASIC for class order relief in relation to central clearing of swaps resulting from transactions in swaptions entered into prior to the clearing commencement date

Regulation ASIC
06-Sep-2017

Modernising Business Registry Services

Submission supporting the goals of the National Business Simplification Initiative and the modernisation of business registry services.

Regulation The Treasury
30-Mar-2016

Multinational Anti Avoidance Law (MAAL)

Submission to the ATO outlining the potential application of the MAAL to AFMA members who operate through either a foreign bank branch or subsidiary in Australia, and a request for a risk assessment

Taxation ATO
08-Mar-2018

National Energy Guarantee

Submission on draft NEG design consultation paper.

Regulation Energy Security Board
31-Oct-2016

National Guarantee Fund reform proposal

Submission on options for reform of the NGF including the heads of claim.

Other SEGC
02-May-2018

New APRA data collection solution

Submission supporting solutions that result in minimal cost and disruption to ADIs while still allowing the evolution and improvement of the system. The solution should allow or support smart submission with automatic form completion where appropriate and logical checking of data, and notification of potential errors, should be flexible and extensible, and have user-friendly features to support easy tracking and notification around submission status.

Regulation APRA
23-Mar-2018

Open Banking

Submission in response to the final report into the review of open banking in Australia.

Other The Treasury
17-Sep-2018

Open Banking - Treasury Laws Amendment (Consumer Data Right) Bill 2018

Submission that Open Banking and the Consumer Data Right more generally propose profound changes to the banking and economic environment, and encouraging the Government not to rush consideration of these changes and risk unintended consequences. Given the types of risks associated with banking as well as business and consumer data, the investment of extra time now is the best option and could help minimize the risk of serious problems arising later. Proper consideration of the proposals requires a whole-of-government approach including with APRA, Home Affairs, ASIC, RBA and AUSTRAC combined with deep engagement with industry over an extended period and will require a consideration of prudential matters, financial system stability matters, privacy, market integrity, compatibility with money laundering and counter terrorism programs, and the potential micro- and macro-economic impact.

Regulation Treasury
09-Dec-2016

Privacy implications re collection of KYC information from sources other than the customer

Comments on the draft Privacy Guidance for collecting KYC information, in particular that the guidance will impose significant restrictions on the ability of reporting entities to use the optional procedure to collect information.

Regulation AUSTRAC
23-Jun-2017

Proposed Financial Institutions Supervisory Levies 2017-18

Submission highlighting an increased levy burden on ADIs, where it is the activities non-ADIs in the provision of credit that have given rise to the need for extra powers to mitigate systemic risks.

Regulation Treasury
08-Jun-2018

Proposed Financial Institutions Supervisory Levies for 2018-19

Submission noting that the proposed levies further reduce the maximum and the restricted levy rate applied to the foreign branch ADIs from one third of that for a domestic ADI to one fifth. This follows on from a reduction in the maximum and the restricted levy rate applied to foreign ADIs from one half of that for domestic ADIs to one third in FY 2017-18. The stated purpose of this change in calculation parameters is to better reflect the cost of supervision of these institutions. This approach is consistent with the position advocated by AFMA that the supervisory levies should reflect bank risks and the cost of regulation by APRA.

Regulation Treasury
19-Dec-2016

Proposed Industry Funding Model for ASIC – Submission to the Second Consultation

Submission to Treasury consultation following on from previous submissions that continues to press for appropriate accountability and transparency arrangements. The submission also details problems with the proposed levy arrangements for investment banks, entities that trade in OTC financial products, and message based charges for futures and derivatives transactions.

Regulation Treasury
05-Jul-2017

Proposed revisions to Prudential Standard APS 221 Large Exposures

Submission about the reporting of large exposures of the Australian operations of the foreign ADI, groups of connected counterparties, the definition of total exposure, the implementation timeline and cost/benefit analysis.

Regulation APRA
12-May-2017

Proposed Revisions to Reporting Standard ARS 210.0 Liquidity

Submission seeking reconsideration of the reporting basis as being the last business day or the last calendar day of the reporting period, guidance on a range of technical issues and clarification on interaction with other reporting standards.

Regulation APRA
10-Oct-2016

RBA RITS Regulation rewrite

Submission in relation to the requirement to notify about change of jurisdiction of incorporation, RBA failure to notify certain matters, and definitional issues.

Regulation RBA
25-Jul-2017

Reform of the Regulation of Financial Benchmarks

Submission focussing on the proposed offence provisions - in particular sections 908DA, 908DB, and 908DC.

Regulation Treasury
09-Dec-2016

Regulator Performance Framework

Response to ASIC request for feedback.

Regulation ASIC
11-Nov-2016

Replacement of CHESS for equity post-trade services

Submission to the ASX consultation paper on business requirements for the replacement of CHESS

Other ASX
06-Jun-2018

Reserve Bank of New Zealand Consultation Paper: Authorisations for the use of restricted words by overseas banks

Submission supporting the need for a formal public register of authorised overseas banks conducting activities in New Zealand, and the objectives regarding clarity for consumers. However because the non-objection letters currently issued by RBNZ often cover very specific and minor activities, therefore justifying the exemption from registration for a number of entities, we recommend that obligations for and related to authorisation should continue to be managed proportionately according to an entity's level of activity in New Zealand.

Regulation RBNZ
05-Feb-2016

Resilience and collateral protection amendments

Resilience and collateral protection amendments

Regulation Treasury
29-Sep-2017

Response to APRA discussion paper: Counterparty Credit Risk for ADIs

Submission commenting on aspects of the Prudential Standards referenced in the discussion paper, and particularly the reporting forms which accompany the new Prudential Standard APS 180 Capital Adequacy: Counterparty Credit Risk (APS 180).

Regulation APRA
30-Mar-2017

Response to Treasury Proposals Paper - Design & Distribution Obligations, Product Intervention Power

Submission to the Proposals Paper that argues for greater alignment of proposed ‘issuer’ and ‘distributor’ obligations with existing AFSL and other obligations under the Corporations Act, and the removal of certain proposed requirements for issuers to have more control over the behaviour of distributors, as this is not commercially feasible or possible in many cases. The use of the product intervention power requires significant clarification and should not overlap with or duplicate existing powers.

Regulation Treasury
10-Oct-2016

Review of the financial system external dispute resolution framework

AFMA submission seeking alignment of the EDR framework with the Corporations Act provisions re the treatment of wholesale clients.

Regulation Treasury
30-Sep-2016

Significant Global Entities Lodging General Purpose Financial Statements ATO Discussion Paper

Submission focusing on the issues arising for AFMA members that are headquartered outside of Australia, particularly those that operate in Australia through a permanent establishment as opposed to a separately Australian incorporated entity.

Taxation ATO
19-Feb-2016

Special review second draft report – Australia’s climate policy options

Special review second draft report – Australia’s climate policy options

Other Climate Change Authority
20-Apr-2017

Stapled Structures

Joint submission with the Australian Bankers Association on the Treasury consultation paper about stapled structures, focussing on issues arising for those entities that provide debt finance to stapled structures, as opposed to the issues and perspectives of equity participants in such structures (i.e. the owners of the shares in the company or units in the trust that comprise the staple).

Taxation Treasury
29-Jul-2016

Submission to Productivity Commission Inquiry into Data Availability and Use

This submission discusses the efficiency of public and private data provision and its use with particular reference to the role of financial markets in the Australian economy. It notes that the data currently collected on financial markets by regulators can be used more effectively. The submission also suggests some low cost ways in which government legislation and spending could be made more transparent, facilitating improved public policy.

Regulation Productivity Commission
29-Feb-2016

Tax incentives for early stage investors

Tax incentives for early stage investors

Taxation Treasury
17-Jan-2017

Transparency Draft – New Issue Process Standard

AFMA letter to the UK FICC Markets Standards Board acknowledging the release of the Transparency Draft – New Issue Process Standard for Fixed Income Markets.

Regulation FICC Market Standards Board
17-Aug-2018

Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Bill 2018

Submission in relation to the proposed amendments to the Taxation Administration Act 1953 to bring within scope of the third party reporting requirements payments made by entities that supply an information technology service to another entity wholly or partly for the supply of an information technology service, noting the proposed exception for payments made to members of the same consolidated group or MEC group. AFMA suggests that the proposed exception be broadened to capture payments made to members of the same economic group, which could be done in a manner consistent with the Significant Global Entity definition ie. by including within the exception payments made to entities that are within the same accounting consolidated group.

Regulation Treasury
01-Mar-2017

Treasury Laws Amendment (Combating Multinational Tax Avoidance) Bill 2017 Diverted Profits Tax Bill 2017

Submission to the Senate Standing Committee on Economics inquiry on the MAAL and DPT Bills, highlighting that the operation of the Diverted Profits Tax should not expand the existing law, there should be no double assessments, and legislative protections should be in place for taxpayers given the significant increase in penalties.

Taxation Senate Standing Committee on Economics
23-Sep-2016

Treasury Laws Amendment (Enterprise Tax Plan) Bill 2016

Submission supporting the proposed phased-in reduction of Australia’s corporate tax rate to 25% for all corporates over a ten-year horizon.

Taxation Senate Standing Committee on Economics
13-Jul-2018

Updates to AUSTRAC Compliance Guide re self-attestation of identity; independent review of AML/CTF programs

Submission commenting on proposed changes to the requirements for review of AML/CTF programs, including the independence of the reviewer, the matters to be reviewed, the frequency of reviews and factors that might increase the frequency of review.

Regulation AUSTRAC
02-Feb-2016

Voluntary tax transparency code

Voluntary tax transparency code

Taxation Board of Taxation