Question

Q1 Outline the role of ASIC citing key sections in its act.

Give one example of a use of   its powers discussing the impact of that decision.

Answer 1

The role of ASIC;

1.The Australian Securities and investments commision (ASIC) regulates registered companies, financial markets, and providers of financial services and credit services.

2.The ASIC aims to promote fair and efficient financial markets characterised by intergrity and transparancy and support confident and informed parcipation by investors and financial consumers.

3.The ASIC issues finacial licences and monitor business that provide financial services to ensure that the operate efficiently, honestly and fairly through the austrilian financial services licencing system.

4. These businesses provide services in relation to financial products,including regulated imissions units since july 2012.the ASIC maintain a register of australian financial sevices licence end authorised representitives of AFSL.

5.The ASIC is also responsible for the supervision of operaters of financial markets, operaters of clearing and settlement facilities and of financial markets participants.

Example of ASIC use of it's powers and impact of that decision;

1.Make rules amied at ensuring the integrity of financial markets

2.Issue of infringement noties in relation to alleged breaches of some laws

3.Seek civil penalties from courts and,

4.Commence prosecutions,

5.Ban people from engaging in credit activities or providing finacial services.