APRA and ASIC host Superannuation CEO Roundtables – April 2025

APRA and ASIC recently hosted two joint Superannuation CEO Roundtables on 1 April 2025 and 10 April 2025, attended by 15 superannuation Chief Executive Officers representing a broad cross-section of the industry (see Appendix I for the attendees). The theme of these roundtables were key issues related to the Financial Accountability Regime (FAR) —a significant regulatory framework aimed at enhancing accountability and governance within the financial services industry in Australia.

FAR
 

APRA and ASIC expressed positivity regarding the superannuation industry’s preparedness for the FAR, partly demonstrated by the proactive registration of accountable persons ahead of the regime’s commencement. The regulators emphasised the importance of FAR in strengthening accountability and governance, adding that the regime has fostered a better understanding of gaps and pain points across the industry. The CEOs recognised the importance of clear accountabilities and governance structures, discussed the critical role of governance in trustee groups, and the need for clear position descriptions, charters, succession and contingency planning. Where complexities and overlapping accountabilities were identified, restructuring has helped to ensure there is the right level of distribution and balance within the executive team.

The CEOs agreed that scenario testing was useful for identifying handover points, clarifying accountabilities, and aligning KPIs and job descriptions with FAR accountability statements. The concept of ‘reasonable steps’ was discussed in supporting practical implementation and scenario planning to identify ownership. Various communication methods, from townhall meetings to performance reviews, were discussed to convey the importance of FAR and its integration into the organisation's DNA. ASIC observed that the implementation of FAR has assisted in sharpening the focus on accountability and enabling engagement with the appropriate accountable person. 

FAR has driven cultural and behavioural changes, with executives working together more cohesively, breaking down silos, and fostering collaboration. The CEOs stressed the need for continuous learning and adaptation to drive cultural change and enhance governance across the industry. FAR has helped organisations develop a clearer understanding of non-financial risks, accountabilities, and how operating models can facilitate efficiency uplifts and improve decision making. Roundtable participants emphasised the importance of sustainable behavioural and cultural changes in enhancing risk culture and resilience, noting the inherent tensions between FAR and other regulatory requirements.

The CEOs called for regulatory simplification to address the challenges of working under multiple regimes. CEOs also highlighted the difficulties in capturing components of the business not regulated by FAR. APRA and ASIC echoed the importance of identifying related entities and understanding their connections to effectively manage risks and fulfill RSE licensing obligations. Trustees should look to strengthen frameworks for FAR. CEOs and directors must engage in clear and challenging conversations, focusing on reasonable steps and defined role mandates to ensure accountability. 

CEOs

APRA attendees

ASIC attendees

CEOs

APRA attendees

ASIC attendees

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