CP 204 Risk management systems of responsible entities
Released 21 March 2013. Comments closed 3 May 2013.
This paper sets out our proposals for regulatory requirements and guidance relating to the risk management systems of Australian financial services (AFS) licensees that are responsible entities and are not regulated by the Australian Prudential Regulation Authority (APRA).
Note: Subject to the passage of the Superannuation Legislation Amendment (Service Providers and other Governance Measures) Bill 2012 (Superannuation Bill), the proposed requirements and guidance will also apply to APRA-regulated registrable superannuation entity licensees (RSEs) that manage non-superannuation registered managed investment schemes (dual-regulated entities). From the commencement date of the legislation, the obligation to have adequate risk management systems for these entities will exclude risks that relate solely to the operation of the RSE.
These proposals follow our recent review of risk management systems of selected responsible entities, the findings of which are discussed in Report 298 Adequacy of risk management systems of responsible entities (REP 298) published in September 2012.