Australian banks not immune
Australia’s regulatory system may have weathered the global financial crisis better than most, but that does not mean it should be immune from further reform, according to the Australian Prudential Regulation Authority (APRA).
Wayne Byres, APRA executive general manager of the Diversified Institutions Division, has told a conference that APRA’s position is “that it is both pointless and unhelpful to try to stand against the tide of international reform”.
“We are a small, open economy participating in a global financial system, and any attempt to declare independence from the rest of the world will inevitably be counterproductive,” he said.
Byres said that whilst ever the Australian banking system was reliant on offshore funding, it was vital that Australia be seen to be playing by the international rules of the game.
“Whatever the merits of the Australian banking system and its regulatory framework, in the midst of the crisis the rest of the world did not distinguish a great deal between our banks and those elsewhere,” Byres said.
AUTHOR
Mike Taylor
Recommended for you
Two commentators have shared why the inclusion of alternatives in a diversified portfolio shouldn’t be a simple switch with a traditional asset and will depend heavily on clients’ objectives.
Morgans chief executive, John Clifford, has announced he will step down from the wealth management group after eight years leading the business.
Funds under administration on the BT Panorama platform have passed $120 billion in the last six months as it progresses its migration of Asgard into the platform.
Private markets may be the hot topic of the day but two financial advisers have shared the red flags to consider and why advisers shouldn’t be tempted to invest solely in the pursuit of higher returns.
