Regulation Impact Statement – Australian Securities and Investment Commission
On 27 March 2017, the Australian Securities and Investment Commission (ASIC) released guidance on risk management systems of responsible entities.
Australian financial services (AFS) licensees have an ongoing legal obligation to have adequate risk management systems in place. The released guidance on risk management systems provides tailored guidance for responsible entities on how to meet the obligation, and seeks to set minimum standards and address inconsistencies among existing arrangements of various responsible entities.
A Regulation Impact Statement (RIS) was prepared and certified by ASIC. It has been assessed as compliant and best practice by the Office of Best Practice Regulation. ASIC has estimated the annual regulatory cost to be in the range of $ 1.1million to $1.3 million.