The assessment is “issues free” as it contains no recommendations for follow-up action by ASX.
The ASIC assessment, available on www.asic.gov.au , found that ASX Settlement and Transfer Corporation Pty Ltd (ASTC) and Australian Clearing House Pty Ltd (ACH) each have adequate arrangements for supervising its respective clearing and settlement facility, as required under their licence obligations. The assessment also found that management and staff demonstrated a high level of operational expertise and that both ASTC and ACH used “good and reliable technology” to remain “active and vigilant in their financial risk management”.
“ASIC’s assessment is good news for all investors and market participants. Average daily turnover of ASTC and ACH is $3.6 billion and both companies play an important role in maintaining confidence in the markets we operate,” ASX Group Executive Market Supervision Eric Mayne said.
“It is particularly welcome given that during this period ASX also completed the split of the National Guarantee Fund (NGF), facilitating ACH’s ability to meet the financial stability standards for central counterparties set by the Reserve Bank of Australia. This systemic support for our markets is critical to their success and they play a key role in the national economy.”
