AUSTRALIA: ASIC finalises regulatory framework for retail trading of Commonwealth Government Securities

Thursday March 28 2013

The Australian Securities and Investment Commission has amended existing market integrity rules and related guidance to help with the introduction of retail trading of Commonwealth Government Securities (CGS) depository interests on the Australian Securities Exchange (ASX).

The rules are one element of the regulatory framework for the retail trading of CGS depository interests on public exchanges. The Australian Government has previously announced that it is encouraging retail investors to trade CGS.

ASIC has updated Regulatory Guide 223 Guidance on ASIC market integrity rules for competition in exchange markets (RG 223) to reflect these changes. RG 223 provides guidance on how market operators and market participants can comply with their obligations under the competition market integrity rules.

The changes facilitate the Australian Government’s initiative to allow retail trading of CGS depository interests on public exchanges. The initiative, part of the Australian Government’s ’Competitive and Sustainable Banking System’ package, was released on 12 December 2010.

It is proposed that trading in these products will commence in April 2013.

Click on the above link for more details.