The manipulation of financial benchmarks will be made a specific criminal and civil offence, Treasurer Scott Morrison has announced – and ASIC will be granted new powers to compel entities to make submissions to such benchmarks.
The government's announcement that it is "clamping down" on market manipulation of financial benchmarks coincided with the first day of the House Standing Committee on Economics' Review of the Four Major Banks.
In November 2015, Mr Morrison asked the Council of Financial Regulators (CFR) to provide advice to the government on options to reform the regulation of financial benchmarks.
The CFR advice, released by Mr Morrison yesterday, made three broad recommendations:
Mr Morrison said the government has accepted CFR's advice, and will implement its recommendations over the next 18 months.
"The Turnbull government is absolutely committed to transparent and well-functioning markets, which are fundamental to a vibrant 21st century economy," said Mr Morrison.
"These measured changes will build on the steps that the Turnbull government is already taking to strengthen our banking and financial system including strengthening ASIC’s resources and capabilities and the establishment of a regular Parliamentary Inquiry into Australia’s banking and financial system," he said.
Investors should be looking to increase allocations to defensive assets this year, with relations between the US and China contributing to m...
Rapid changes in the financial sector are opening opportunities for investors, with the introduction of open banking and digitization to acc...
Australia’s competition watchdog is proposing to accept an application for a certification trademark that signals to potential investors t...