Risk & Controls

Does supervising a corporate authorised representative mean the licensee can rely on the company to supervise its own advisers?

No. ASIC expects an AFS licensee’s supervision obligation to apply when a corporate authorised representative or its advisers provide financial...

What documents, systems and controls should form part of a licensee’s compliance infrastructure?

ASIC expects Australian Financial Services Licensees and Australian Credit Licensees to maintain documented governance, systems and controls that support ongoing...

What are the characteristics of an effective compliance function?

An effective compliance function should be appropriately resourced, independent where practicable, risk-based and integrated into the licensee’s governance framework. It...

What makes compliance monitoring risk-based rather than checklist-based?

ASIC doesn’t prescribe a specific compliance monitoring methodology for AFS licensees. However, effective compliance monitoring is risk-based when monitoring activities...

What makes an advice file review genuinely effective?

ASIC does not require AFS licensees to conduct advice file reviews in a prescribed way. However, effective file reviews are...

What makes an AML/CTF risk assessment defensible?

AUSTRAC expects reporting entities to maintain an AML/CTF risk assessment that accurately identifies, assesses and documents their money laundering, terrorism...

What is the difference between compliance monitoring, supervision and assurance?

ASIC does not define compliance monitoring, supervision and assurance as interchangeable obligations. For AFS licensees, they serve different governance purposes....

What makes a compliance framework defensible?

ASIC expects AFS licensees to maintain compliance frameworks that are effective, documented and appropriate for the nature, scale and complexity...

What evidence does ASIC expect to see during surveillance?

ASIC uses different surveillance types, and the evidence it seeks depends on the specific project. Thematic surveillance focuses on a...

In the context of AML/CTF, what are “suspicious matters” or “unusual activity”?

Under the AML/CTF regime, AUSTRAC expects reporting entities to identify and assess unusual activity that may indicate money laundering, terrorism...

Step 1 of 8 - Your Role

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Assess your ASIC exposure

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