A new report released by the Australian Securities and Investments Commission (ASIC) creates a strong platform to help Australia become a world leader in regulatory technology, two industry groups said today.
The RegTech Association and FinTech Australia joined forces to welcome the release of the report entitled “ASIC’s Innovation Hub and our approach to regulatory technology”.
The report outlines a series of initiatives that ASIC – as Australia’s corporate, markets and financial services regulator – will undertake to encourage regulatory technology (regtech) innovation.
The report defines regtech as technology that helps businesses comply with regulations efficiently and inexpensively. These technologies could include use of artificial intelligence, natural language processing, data reporting, regulatory codification and big data analysis technologies.
The report proposes a number of ASIC initiatives, including:
- Establishing a new regtech liaison group, comprising industry, technology firms, academics, consultancies, regulators and consumer bodies.
- Continued use of technology trials, expanding on existing trials into areas such as machine-learning to assess documents for evidence, and tools which analyse webpages in the self-managed superannuation fund sector.
- Hosting a regtech problem-solving event later in 2017
RegTech Association Chairman Julian Fenwick said the report helped build understanding of ASIC’s regtech priorities and therefore provide a pathway towards sustainable and strong industry growth.
“We are very pleased to see that ASIC has identified the enormous potential of RegTech,” he said.
“Specifically the report states ’ASIC believes regulatory technology can help organisations build a culture of compliance, identify learning opportunities, and save time and money on regulatory matters while improving compliance and outcomes for consumers’. This is a statement which the RegTech Association wholeheartedly endorses.
“We wouldn’t want this report to be the first and last word on regtech from the Australian Government but it is a fantastic start to help promote our Australian regtech industry.
“Given Australia’s existing robust financial services regulatory environment, there is no reason why we shouldn’t be a world leader in regtech innovation.
“The report acknowledges that the time is right to instigate trials into regtech projects, which is in line with the wishes of the RegTech Association.
“The RegTech Association also looks forward to taking part in ASIC’s new liaison group and working alongside ASIC as it develops community problem-solving events.”
FinTech Australia CEO Danielle Szetho said regtech was an important and growing fintech sub-sector and the ASIC report would help build startup, client and investor confidence in this sub-sector.
“ASIC’s strong focus on regtech is warmly welcomed, as it sends a signal both globally and domestically that Australia’s top financial services regulator considers this area as a major priority for innovation,” she said.
“We look forward to supporting both ASIC and the RegTech Association in activities to drive networking and community engagement in this important area.”
The ASIC report can be found here.
About the RegTech Association:
The RegTech Association is the national association for founder led RegTech businesses. With a clear vision to make Australia a global leader in building higher performing, ethical and compliant businesses through RegTech innovation and investment, the Association brings awareness to, and champions, this disruptive yet collaborative movement.
With a unified focus on succeeding through promoting an inclusive environment that will make an impact together – open to governments, industry bodies, private and public organisations, corporates, small businesses and start-ups; the Association will stand as advocates for promoting the achievements, partnerships, collaborations, incubations and seeding of RegTech in Australia.
The RegTech Association
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About FinTech Australia
FinTech Australia is a national association for the Australian FinTech Startup community. Our vision is to make Australia the leading market for FinTech Innovation and Investment by working with both sides of Government, Industry and the Australian FinTech community to create a supportive environment and partner ecosystem in Australia and abroad.
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