Responsibility for the supervision and operation of the SSX market is shared between SSX and the Australian Securities and Investments Commission (ASIC). The role that each body plays depends upon the part of the market being considered.
ASIC is the Government’s regulatory body which supervises Australian market operators (such as SSX) and Australian Financial Services Licensees (such as stockbrokers). It does this in accordance with the Corporations Law established by Parliament and the Market Integrity Rules which ASIC develops and which is approved by the relevant Government minister.
ASIC is responsible for:
- the regulation of stockbrokers in accordance with the Corporations Act and the ASIC Market Integrity Rules (SSX Market);
- the regulation of real-time trading on SSX in accordance with the Corporations Act and the ASIC Market Integrity Rules (SSX Market). This includes insider trading, market manipulation, continuous disclosure, and orderly markets;
- enforcing the Corporations Act against listed companies and stockbrokers on the SSX market;
- the regulation of SSX as a market operator in accordance with the Corporations Act and the ASIC Market Integrity Rules (SSX Market).
SSX is the market operator and supervisor. It does this in accordance with the Operating Rules which SSX develops and which are not disallowed by the relevant Government minister.
SSX is responsible for:
- the supervision of stockbrokers in accordance with the SSX Business Rules;
- the supervision of real-time trading on SSX in accordance with the SSX Business Rules. This includes orderly markets;
- the supervision of continuous disclosure by Listees on SSX in accordance with the SSX Listing Rules;
- enforcing the SSX Business Rules against stockbrokers on the SSX market and;
- enforcing the SSX Listing Rules against Listees and sponsors.
SSX and ASIC work co-operatively to promote confidence in the SSX market.
SSX has certain obligations to report matters to ASIC which it identifies in the course of operating the market. These include:
- if SSX has reason to suspect that a person has committed, is committing, or is about to commit a significant contravention of the SSX Listing Rules or SSX Business Rules or the Act;
- if SSX becomes aware of a matter which it considers has adversely affected, is adversely affecting, or may adversely affect the ability of a participant in the market, who is a financial services licensee, to meet the participant’s obligations as a financial services licensee;
- a matter prescribed in the Regulations to the Act;
- disciplinary action against a SSX Participant.