ASIC to monitor margin lending and mortgage broker

In a draft paper released by the Federal Treasury responses are sought on a possible Commonwealth takeover on regulation pertaining to both mortgage broking and margin lending. The proposals while not clear have requested submissions from the industry as to the extent and options covering finance brokers and margin lenders. One option for margin lending is to regulate it as a "financial service" under the Corporations Act and thus bringing it under the umbrella of the Australian Securities and Investments Commission. The proposal also suggests ASIC would be responsible for licensing finance brokers.

Source: The Sheet