By Mark Bland, Partner and Geoffrey McCarthy, Special Counsel 

This update is designed to help superannuation and other licensees manage regulatory change. We look ahead to forthcoming developments, look back at recent changes and then spotlight the impact of a key development on trustees.

We have collaborated with Argos Reg-Tech to create Argos, an online platform where subscribers can find detailed analysis of regulatory reforms, updated on a daily basis. Contact us if you would like to learn how Argos can help your firm manage the risks of regulatory change.

Key developments

The revised draft regulations to implement superannuation portfolio holding disclosure include some important changes to the form and content of disclosure.  Although some changes are likely welcome, trustees will have to take prompt action to ensure their systems are in place for 31 December 2021.

APRA’s paper on combining different performance history will be of interest to a number of trustees, including to see that oversight will be applied to prevent gaming of the annual performance assessment. APRA has also signalled a strengthening enforcement approach under the new Executive Board Member of APRA.

Trustees that provide personal advice should engage with Government’s policy paper concerning the Financial Services and Credit Panel, noting the implications of adverse disclosures.

Last week

23 August – ASIC and RBA published an Independent Expert Review of the 2020 ASX Trade Outage.

20 August – The Government released a Single Disciplinary Body Policy Paper for consultation supporting the Financial Services Reform (Hayne Royal Commission Response-Better Advice) Bill 2021.

18 August – FASEA registered its Corporations (Relevant Providers Exams Standard) (Amendment No. 1) Determination 2021, allowing advisers to sit the November 2021 exam even if they have sat the exam in the prior 3 month period.

18 August – Margaret Cole of APRA said she intends to strengthen APRA’s enforcement mindset in an interview published by APRA.

17 August – Treasury released revised draft regulations and explanatory statement on superannuation portfolio holding disclosure seeking submissions by 31 August 2021.

17 August – ASIC Corporations and Credit (Breach Reporting—Reportable Situations) Instrument 2021/716 registered to exclude breaches of internal dispute resolution standards from automatic significance for the forthcoming new breach reporting requirements.

17 August – Public consultation closed for ASIC’s Consultation Paper 346 on Hawking.

16 August – Comments were due to ATO on SPR 2021/DI and SPR 2021/D2 implementing the stapling rules under the Treasury Laws Amendment (Your Future, Your Super) Act 2021.

16 August – APRA publishes an information paper on its approach to combining MySuper product performance histories.

16 August – YourSuper Comparison Tool now available based on data to 31 March 2021 and APRA’s information paper on its approach to combining MySuper product performance histories and provide more detail on methodology for combining performance in the comparison tool.

Next week

23-26 August – Parliament sitting.

27 August – Submissions close for Government discussion paper – Strengthening Australia’s cyber security regulations.