The Australian Securities & Investments Commission published a transcript of a Q&A with Chair Joe Longo at the Australian Institute of Company Directors’ Australian Governance Summit, where he set out an ASIC-led effort to translate concerns about regulatory complexity into practical simplification steps focused on how ASIC administers the Corporations Act. Longo also highlighted the need for ASIC to build technology capability as part of a broader digital transformation, and pointed to ASIC’s work on the growth of private markets and perceived pressures on public markets. Longo described regulatory complexity as a “wicked problem” with multiple contributors and argued that, while major legislative reform would require significant bipartisan effort, ASIC can still improve accessibility and efficiency through changes in administration. The simplification work is being progressed through an expert panel supported by an ASIC secretariat, with Treasury observers and Productivity Commission representation, and he indicated at least half a dozen “actionable ideas” were already identified for development. He reiterated a preference for principles-based regulation while recognising demand for prescriptive guidance can drive long, defensive documentation, and noted that poor personal behaviour by directors is not necessarily a breach of the Corporations Act, with boards positioned as the first line of response. Over the coming months, the simplification group is expected to develop proposals into implementable actions. On technology and artificial intelligence, Longo flagged the pace of change as challenging for regulation and noted that the International Organization of Securities Commissions’ work on AI is not expected to produce outputs until 2026. For private markets, he pointed to a second phase of work intended to better assess whether regulation is impeding market functioning and whether current oversight of private markets is sufficient, including around valuations and confidence.
Australian Securities & Investments Commission 2025-03-20
Australian Securities & Investments Commission chair calls for actionable proposals to simplify ASIC administration of the Corporations Act and probes regulation’s role in private markets
ASIC released a transcript of a Q&A with Chair Joe Longo at the Australian Governance Summit, focusing on simplifying regulatory complexity in the Corporations Act. Longo stressed the need to enhance ASIC's technology capabilities and addressed private market growth and public market pressures. He advocated for principles-based regulation while recognizing the need for prescriptive guidance. An expert panel is developing simplification ideas. Longo noted challenges in regulating technology and AI, with international guidance expected by 2026, and announced further assessment of private market regulations.