Australia Financial Regulation and Its Origin - Essay Example

The paper  “Australia Financial Regulation and Its Origin  ”  is a cognitive example of a finance & accounting essay. The financial regulatory system in Australia began in 1996 when the government adopts financial system inquiry. This precedes financial deregulation that started in Australia in the early 1980s. The purpose of the inquiry was to provide a stock take on financial deregulation and its consequences. It also gave the analysis on the forces that drive changes in the financial landscape and the emphasis, particularly on technological changes. They make the best recommendation on an overall framework that improves the existing planning and delivery of efficient regulation. The inquiry is referred to Wallis inquiry after a businessman by the name Stan Wallis who chaired the inquiry. Wallis's inquiry came at a time of relative calm and steady financial market in Australasia. Wallis manages to come up with consideration that shapes the financial system in Australia with no pressure of compensation on regulation or system or financial failure

Auditors perform a statutory role to verify the public reporting of companies, and there is growing opposition to their developing any other kind of commercial relationship with their clients. Auditors also have obligations to report any malpractices, or any undue pressure placed on them by management, to the Australian Securities and Investments Commission (ASIC). The auditing profession at large is under pressure to provide a more informative commentary on judgments that have been made in compiling any company’s results.

Ahead of steam is developing, with ASIC asserting that it does not believe the Australian corporate sector has embraced the spirit of disclosure and signaling that is prepared to get tough. Dissatisfaction with the standard of public financial reporting has reached a high pitch, and a new regulatory regime is being imposed on the accounting industry.

For those involved in managing a company’s interaction with the world around it, the regulatory consequences of their actions are looming large. Examples of listed companies in the Australian Stock Exchange are; Australian United Investment Company and Katana Capital limited both Diversified Financials.

Australia financial regulation and its origin
The financial regulatory system in Australia began in 1996 when the government adopts financial system inquiry. This precedes financial deregulation that started in Australia in the early 1980s. The purpose of the inquiry was to provide a stock take on financial deregulation and its consequences. It also gave the analysis on the forces that drive changes in the financial landscape and the emphasis, particularly on technological changes. They make the best recommendation on an overall framework that improves the existing planning and delivery of efficient regulation. The inquiry is referred to Wallis inquiry after a businessman by the name Stan Wallis who chaired the inquiry. Wallis's inquiry came at a time of relative calm and steady financial market in Australasia. Wallis manages to come up with consideration that shapes the financial system in Australia with no pressure of compensation on regulation or system or financial failure

Auditors perform a statutory role to verify the public reporting of companies, and there is growing opposition to their developing any other kind of commercial relationship with their clients. Auditors also have obligations to report any malpractices, or any undue pressure placed on them by management, to the Australian Securities and Investments Commission (ASIC). The auditing profession at large is under pressure to provide a more informative commentary on judgments that have been made in compiling any company’s results.

Ahead of steam is developing, with ASIC asserting that it does not believe the Australian corporate sector has embraced the spirit of disclosure and signaling that is prepared to get tough. Dissatisfaction with the standard of public financial reporting has reached a high pitch, and a new regulatory regime is being imposed on the accounting industry.

For those involved in managing a company’s interaction with the world around it, the regulatory consequences of their actions are looming large. Examples of listed companies in the Australian Stock Exchange are; Australian United Investment Company and Katana Capital limited both Diversified Financials.