Archived News for Finance Sector Professionals
The Australian Securities & Investment Commission (ASIC) has released a consultation paper on proposals to allow banks and non-banks to issue term deposits that are only breakable on 31 days’ notice, as part of moves by Australia’s financial services sector to meet new global liquidity standards.
Basel III liquidity standards aim to promote more resilient banking sectors, including improving sectors’ ability to absorb shocks arising from financial and economic stress.
Term deposits for up to two years issued by authorised deposit-taking institutions (ADIs) that are only breakable on 31 days’ notice would achieve recognition of the 31-day term under the Basel III liquidity standards.
Relief may be required due to potential regulatory uncertainty about whether such term deposits would qualify as basic deposit products under the Corporations Act 2001 (the Corporations Act).
Consultation Paper 169 Term deposits that are only breakable on 31 days' notice: Proposals for relief (CP 169) outlines the relief and the conditions of relief under consideration by ASIC.
‘The conditions under consideration seek to ensure investors are provided with adequate disclosure about the new form of term deposit, leading to confident and informed consumers,’ ASIC Commissioner, Dr Peter Boxall, said.
Download Consultation Paper 169 Term deposits that are only breakable on 31 days' notice: Proposals for relief (CP 169)
The Federal Government has introduced the controversial minerals resource rent tax (MRRT) legislation, comprising ten bills, before parliament despite still not having the numbers to get it passed in the lower house.
The Victorian Government has announced an initial package of reforms of the government's strategic overhaul of the Victorian Funds Management Corporation (VFMC) to refocus the VFMC business strategy, and improve governance and oversight, as well as operational reforms to ensure VFMC delivers optimal performance for Victoria.
The Australian Council of Superannuation Investors has published its Anti-corruption and Bribery Practices in Corporate Australia: A review of the S&P/ASX200 research paper, investigating the risk of bribery in Australia's top 200 listed companies.
ASIC chairman Greg Medcraft has outlined the future agenda of the Commission, saying that he plans for ASIC to move beyond being a compliance organisation into an intitution that promotes education and other initiatives, such as teaching of financial literacy topics in schools.
Bendigo and Adelaide Bank has launched its latest securitisation program that will see the company issue securities with an estimated value of $500 million.
Commsec has published its quarterly State of the States report into the financial health of each of Australia’s states and territories. The report highlights eight key indicators: economic growth, retail spending, equipment investment, unemployment, construction work done, population growth, housing finance and dwelling commencements.
Former Reserve Bank board member Professor Warwick McKibbin has called for the Federal Opposition to withdraw its pledge to scrap the Federal Government’s carbon tax, saying they should concentrate on repairing the scheme.
A consortium of climate change investment groups have called for long-term climate change and clean energy policies to allow for significant opportunity growth in clean and renewable energy technology and energy efficiency.
Superannuation group Industry Funds Management (IFM) has launched a national advertising campaign aimed at showcasing the commitment of the superannuation industry towards nation building infrastructure projects.