The ‘twin peaks’ model of financial regulation should be retained. Government Response The Government agrees to retain the ‘twin peaks’ model of financial regulation where responsibility for conduct and disclosure regulation lies primarily with ASIC and responsibility for prudential regulation Read More …
Tag: model
4.3 — Deferred sales model for add on insurance
A Treasury‑led working group should develop an industry‑wide deferred sales model for the sale of any add‑on insurance products (except policies of comprehensive motor insurance). The model should be implemented as soon as is reasonably practicable. Government Response The Government Read More …
Twin peaks
Recommendation 6.1 – Retain twin peaks The ‘twin peaks’ model of financial regulation should be retained.
Specific steps in respect of particular products: Add-on insurance
Recommendation 4.3 – Deferred sales model for add-on insurance A Treasury-led working group should develop an industry-wide deferred sales model for the sale of any add-on insurance products (except policies of comprehensive motor insurance). The model should be implemented as Read More …
Conclusion
The twin peaks model of regulation has now operated in Australia for many years. It should be maintained and strengthened. But there should be some adjustments made in respect of the regulation of superannuation and the BEAR. As I said Read More …
2.2 Change the remit?
Altering ASIC’s remit would mark a sharp departure from the twin peaks model. I am not persuaded that the two principles underpinning the twin peaks model of financial regulation should now be abandoned or should be given substantially different effect Read More …
1.1 Twin peaks
Australia’s financial regulatory system is often said to be a ‘twin peaks’ model. Two principles inform its structure: Prudential regulation is (largely) separated from conduct regulation and is the province of APRA; and Conduct regulation of the financial services industry Read More …
Introduction
I said in the Interim Report that almost all of the conduct identified and criticised in that Report contravened existing norms of conduct and that the most serious conduct broke existing laws.[1] Notwithstanding that, the law was too often not Read More …
4.1 Manner of sale and types of products sold
4.1.1How to sell: Advice about insurance products As I said at the start of this chapter, most life insurance policies held outside of superannuation accounts are purchased through financial advisers. In the chapter concerning financial advice, I dealt with the Read More …
3.3 Who should regulate?
One response to doubts or difficulties about the respective roles of APRA and ASIC in connection with superannuation would be to create a new and separate regulator responsible for all aspects of supervision and regulation of the superannuation industry. The Read More …