 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Author
- Jan Redfern
How supervision of the markets will change in 2010
January 2010
Introduction
In the last month of 2009, listed companies, company directors and market participants have been hit with a barrage of consultation papers by Treasury, the Australian Securities Exchange (ASX) and the Australian Securities and Investment Commission (ASIC) in relation to market supervision.
If the legislation, rule changes and guidance proposed proceeds without amendment, regulation of the market will be very different from 2010. ASIC will have greater powers and remedies to promote market integrity and, if their best practice guide for the handling of confidential information is universally adopted, possibly better evidence to enforce breaches. Rule changes proposed by the ASX are also designed to enhance disclosure.
The proposed changes have been met with a mixed reaction from advisers and media commentators, with criticisms of too much red tape and the need for greater scrutiny of ASIC.
The changes will require companies and market participants to review and, in many cases, substantially amend existing policies, procedures and practices. There will be more regulatory burden on business but whether this will lead to better outcomes, is yet to be seen.
New rules for ASIC to take over market supervision by the ASX
On 27 November 2009, Treasury published its exposure draft and consultation paper for proposed amendments to the Corporations Act through which ASIC will take over the supervision of trading in the financial markets by September 2010. Read more >>
New ASX Share Trading Rules
Following the recommendations of the CAMAC in its report on market integrity, the ASX has released a consultation paper on changes it proposes to make to its Listing Rules. Read more >>
ASIC's new Best Practice Proposals for handling of confidential information and the conduct of market soundings
ASIC has released a consultation paper and draft regulatory guide for listed companies and their advisers in relation to the proper handling of confidential information and the process that should be adopted on market soundings. Read more >>
On-line tools to assist with compliance
SparkeResults™ combines innovative web-based technology and specialist legal expertise to deliver exceptional results for our clients. SparkeResults™ is a central repository of policies and procedures tailored to an organisation's unique risk and compliance requirements. Read more >>
For more information, please contact a member of our Governance, Risk & Compliance team.