ASIC Sets 2026 Enforcement Priorities, Puts Financial Reporting Misconduct Under Scrutiny

The Australian Securities and Investments Commission (ASIC) has released its enforcement priorities for 2026, highlighting financial reporting misconduct, including failures to submit financial reports, as a key focus area. While the regulator did not specifically mention contracts for difference (CFD) brokers, the new emphasis could have implications for the broader retail trading sector.

Announcing the priorities, ASIC Deputy Chair Sarah Court said the agency remains committed to “strong, visible, and active enforcement outcomes,” emphasizing that its agenda aims to protect consumers and preserve the integrity of Australia’s financial markets.

In addition to financial reporting, ASIC will also target poor private credit practices and failures in insurance claims and complaint handling. This marks the first time since at least 2023 that financial reporting misconduct has appeared among ASIC’s enforcement priorities.

“We’re doing more investigations, taking more matters to court, and securing record penalties,” Court noted. “In the past 12 months, we’ve doubled the number of new investigations and nearly doubled the number of new court filings. We’ve also increased criminal prosecutions, resulting in longer sentences for financial fraud offences.”

The renewed enforcement focus follows a series of recent crackdowns. In late 2023, ASIC found that seven CFD brokers—Capital.com, CMC Markets, Eightcap, IG, Pepperstone, Saxo Markets, and City Index—had breached local leverage rules. The firms were ordered to pay a combined AU$4.3 million in compensation to over 1,500 retail clients.

Australia remains a major market for CFD trading, home to several leading global brokers. The industry has operated under tight oversight since ASIC introduced leverage restrictions and product intervention measures similar to those in Europe.

Earlier in 2025, ASIC also announced plans to relax some reporting obligations for licensed entities, particularly around breach reporting, in a move aimed at reducing compliance burdens while maintaining market integrity.