Financial Services Snapshots

Licensing

ASIC proposes to extend relief for securitisation entities from holding an AFSL

On 20 January 2026, ASIC announced that it is seeking feedback on a proposal to remake a relief instrument to extend the exemption for securitisation entities from holding an AFSL.

The current instrument, ASIC Corporations (Securitisation Special Purpose Vehicles) Instrument 2016/272, is set to expire on 1 April 2026. Under this instrument, a securitisation entity is exempt from holding an AFSL where it holds the securitisation product as a custodian or trustee or is issuing a securitisation product to:

• an AFSL holder;
• an entity that is exempt from holding an AFSL; or
• a wholesale client.

ASIC is proposing to remake this instrument on substantially the same terms for a period of five and a half years.

Written feedback is due to ASIC on 20 February 2026.

See: Media Release; CS 43 Proposed extension of instrument relieving securitisation entities from holding an AFS licence

Superannuation

ASIC proposes to extend intra-fund transfer relief for super trustees

On 28 January 2026, ASIC announced that it is seeking feedback on its proposal to extend relief for superannuation trustees from complying with application form and cooling-off period requirements during an intra-fund transfer.

The current instrument, ASIC Corporations (Superannuation: Accrued Default Amount and Intra-Fund Transfers) Instrument 2016/64, is due to expire on 1 April 2026. ASIC is proposing to extend the relief for a period of five years with the following alterations:

• the exclusion of relief from accrued default amounts to MySuper products, which ASIC says is now redundant; and
• minor and technical amendments intended to simplify the relief.

Written feedback is due to ASIC on 18 February 2026.

See: Media Release; CS 44 Proposed extension of relief for intra-fund transfers

AML/CTF

AUSTRAC releases AML/CTF program starter kits

On 30 January 2026, AUSTRAC released its anti-money laundering program starter kits (the Kits), designed specifically to help small businesses in newly regulated sectors meet their compliance obligations and manage money laundering and terrorism financing risks.

From 1 July 2026, businesses providing certain designated services commonly provided by lawyers, accountants, real estate agents, conveyancers and jewellers will have obligations under the AML/CTF Act.

The kits set out step-by-step actions these businesses can take to build their own anti-money laundering program and include practical tools to help businesses comply with the AML/CTF Act.

See: Media Release; Program Starter Kits

Other

ASIC publishes key issues outlook for 2026

On 27 January 2026, ASIC published its Key Issues Outlook for 2026. The publication highlights where ASIC believes risks are most likely to emerge and where the regulator is focused on safeguarding trust, integrity and confidence in the Australian financial system.

ASIC identified the following core issues in its 2026 list:

• increased retail client exposure to private credit markets;
• operational failures by superannuation trustees leading to member harm;
• consumers losing their retirement savings through investment in high-risk products, including as a result of high pressure sales tactics and inappropriate financial advice;
• advanced technology harming consumers, including agentic AI;
• cyber-attacks, data breaches and/or inadequate operational resilience and crisis management, which undermine market confidence and harm consumers;
• regulatory gaps related to emerging financial sector participants (digital assets, payments, users of AI) and others on the regulatory perimeter;
• poor insurance claims handling, especially following extreme weather events;
• failure or significant outages resulting from the implementation of CHESS replacement or due to the ongoing use of the aging infrastructure of the current system;
• poor quality financial reporting, sustainability reporting and audit quality; and
• increased risk appetite in the banking sector in response to competitive pressures that result in consumer harm.

See: Media Release   

ASIC proposes updates to legislative instruments about financial reporting

On 30 January 2026, ASIC announced that it is seeking feedback on its proposals to remake three legislative instruments relating to financial reporting relief and allow another instrument to sunset.

The three legislative instruments, which are due to sunset on 1 April 2026, are:

• ASIC Corporations (Rounding in Financial/Directors' Reports) Instrument 2016/191
• ASIC Corporations (Electronic Lodgment of Financial and Sustainability Reports) Instrument 2016/181
• ASIC Corporations (Disregarding Technical Relief) Instrument 2016/73.

As part of this work, ASIC is proposing to withdraw Regulatory Guide 28 Relief from dual lodgement of financial reports (RG 28), which ASIC says provides redundant guidance about dual lodgement relief.

ASIC is also seeking feedback on a proposal to allow ASIC Corporations (Offer Information Statements) Instrument 2016/76 to sunset on 1 April 2026. ASIC considers that that offer information statements (OIS) are rarely used, and that it is unlikely that a financial report in an OIS would cover a period other than 12 months.

Written feedback is due to ASIC on 27 February 2026.

See: Media Release; CS 45 Proposed remake and sunset of financial reporting-related legislative instruments; REP 813.

ASIC's findings from CFD sector review

On 20 January 2026, ASIC announced that it has secured the return of nearly $40 million to more than 38,000 retail investors and driven substantial compliance improvement across Australia’s contracts for difference (CFD) sector following a whole of industry review.

Between October 2024 and December 2025, ASIC reviewed 52 licensed CFD issuers, requiring them to show how they were distributing their high-risk products. In the report, Risky business: Driving change in CFD issuers’ distribution practices (REP 828), ASIC found widespread weaknesses in how CFD issuers complied with:

• their design and distribution obligations;
• ASIC’s CFD product intervention order ; and
• regulatory reporting requirements.

ASIC foreshadows that it will continue to act decisively and, where appropriate, take further action to address misconduct.

See: Media Release; Report 828 Risky business: Driving change in CFD issuers’ distribution practices (REP 828)