Australian regulator is preparing for Brexit

The whole situation is penetrating looks at ASIC, which has been monitoring the UK's further activities for some time now. He cooperates with the British Financial Supervision Authority and the Bank of England. By monitoring the situation, ASIC wants to predict Brexit effects in a way. Their knowledge will allow the Australian institution supervising financial markets to plan and, to some extent, prepare appropriate activities. In its statement, the regulator provides information on the preparation for a possible break-up with the Union on a "no deal" basis. This option is taken into account and, moreover, it declares its readiness to manage the effects resulting from the above scenario.

The weight of regulation will fall on who

ASIC strives primarily to strengthen cooperation with British regulators. When UK leaves the European Union, the burden of supervision over the financial market will fall on FCA's shoulders. These will mainly be powers related to the control of rating agencies, benchmarks and trade repositories, which are currently checked and regulated at the European level by the European Securities and Markets Authority (ESMA).

Why ASIC is so keenly watching UK activities

The Australian regulator is aware of the operation of almost 300 of British companies operating in his country. 

In the ASIC message we read:

"We expect companies to have adequate emergency measures to mitigate the potential effects of Brexit."

Almost 285 companies provide financial services under a permit issued by ASIC. Actions taken by this institution are also aimed at protecting their companies operating in Great Britain.

Official ASIC message