Aggregated News From Investment Management Regulators

ASIC issues information sheet on managing conduct risk during LIBOR transition


Please complete the required fields.

ASIC has today published Information Sheet 252: Managing conduct risk during LIBOR transition (INFO 252) on practical guidance that Australian entities can adopt to manage conduct risk during the London Interbank Offered Rate (LIBOR) transition.

LIBOR is expected to cease after the end of 2021. Although entities in Australia have made substantial changes to date, additional effort is required to ensure an orderly transition.

The guidance published today sets out regulatory expectations and clarifications on key transition issues. It aims to assist entities in establishing necessary arrangements to mitigate conduct risk associated with the discontinuation of LIBOR.

INFO 252 sets out:

  • frameworks, practices, and recommendations on fair treatment of clients, representation of product performance, and client communication strategies
  • ASIC’s expectation of the industry, including what we consider to be best practices
  • buy-side entity specific guidance and recommendations

ASIC Commissioner Cathie Armour said ‘Firms need to apply fair judgement and professional diligence when dealing with clients during LIBOR transition. This includes having robust arrangements in place to mitigate conduct risk that may arise during the transition process. This guidance is a part of our commitment to assist the industry in enhancing the overall LIBOR transition preparedness in Australia.’

All entities with LIBOR exposures are strongly encouraged to review INFO 252 and take reasonable steps to implement the relevant recommendations.

Download INFO 252.

Source link

Regulator Information

Abbreviation: ASIC
Jurisdiction: Australia

Recent Articles

McCarter Capital Partners

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

TorexFX/42 Marketing Limited (clone of FCA authorised firm)

Fraudsters are using the details of firms we authorise to try to convince people that they work for a genuine, authorised firm. Find out...

Federal Reserve Board issues enforcement action with Texico Bancshares Corporation and Texico State Bank

Please enable JavaScript if it is disabled in your browser or access the information through the links provided below.

eagle advisory services

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

BAM Bundesweites Anlagenmanagement UG (haftungsbeschränkt), Hamburg/Berlin: information from BaFin with regard to the winding up of unauthorised deposit business

After reviewing the situation, BaFin has made the following arrangements to ensure that the purported “blocked accounts” (Sperrkonten) are wound up in an orderly manner. I.

Get the latest from Regulatory.News in your inbox!