The Australian Prudential Regulation Authority (APRA) today granted the first Registrable Superannuation Entity (RSE) licence under the new superannuation licensing regime for superannuation trustees.

The Trustee of the Retail Employees Superannuation Trust (REST) has been granted a public offer entity licence.

APRA’s Deputy Chairman Mr Ross Jones said that the licence application process went smoothly.

“Trustees that have good risk management systems in place would find the process of obtaining a licence straightforward,” he said. “The process focuses on documenting those systems into a formal risk management strategy and plan, and demonstrating to APRA compliance with the new operating standards.”

“APRA is assisting trustees during the application process through the provision of dedicated guidance material on licensing requirements and a series of national workshops which commenced in mid-August,” he said.

Mr Jones added: “It is in the best interests of trustees to submit their licence application as soon as possible, providing trustees and APRA with sufficient time to address any matters that may affect the granting of a licence.”

Under reforms to the prudential framework for superannuation introduced in the Superannuation Safety Amendment Act 2004 on 1 July this year, all trustees of existing RSEs are required to obtain a licence and register their RSE with APRA by 30 June 2006 at the latest.

Trustees who were not already trustees of an RSE on 1 July 2004 are generally prohibited from being the trustee of an RSE unless they have obtained, or have applied for, an RSE licence.

Information on the new superannuation licensing regime for superannuation trustees is available on APRA’s website at www.apra.gov.au and by contacting APRA on (02) 9210 3344.

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry.APRA is funded largely by the industries that it supervises. It was established on 1 July 1998.APRA currently supervises institutions holding approximately $1.8 trillion in assets for 20 million Australian depositors, policyholders and superannuation fund members.