The Australian Securities and Investments Commission (ASIC) has identified a pressing need to enhance its digital capabilities to more effectively combat financial misconduct. Chair Joe Longo emphasized to the Parliamentary Joint Committee on Corporations and Financial Services that investment in advanced technology is crucial for regulators to keep pace with evolving financial crime. The Financial Regulator Assessment Authority (FRAA) has recommended a significant upgrade in ASIC’s data and technology capabilities, a suggestion that ASIC is now acting upon.
Longo indicated that ASIC is committed to improving its digital infrastructure, having secured initial funding in the recent federal budget to bolster its cyber security and regulatory systems. The regulator plans to implement several initiatives, including a new ‘threat intelligence platform’ designed to enhance real-time detection of cyber threats and improve information collection.
The rationale behind this technological boost is the increasing volume of data that ASIC investigators must analyze to unravel complex financial crimes. Longo noted that the current process is labor-intensive and heavily reliant on manual efforts, which slows down investigations and makes it difficult to connect disparate data sets.
By investing in advanced analytics and creating a unified view of entities, ASIC aims to expedite the investigation process and enhance its ability to identify and address financial misconduct. This upgrade is expected to not only speed up the relief process for victims but also serve as a deterrent to potential offenders.
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