Output group 1.1 contributes to outcome 1 by ensuring that the Australian financial markets are fair and transparent and supported by confident and informed participation of investors and consumers. The output group consists of four key outputs that are described below.

Components of output group 1.1 are:

Departmental outputs

Output 1.1.1 — Policy and guidance about the laws administered by ASIC

Activities undertaken include:

• Recommendations to the Minister about market licence operating rules.
• Guidance provided to regulated entities about how ASIC will apply the law and exercise the law and exercise the discretions that parliament has given ASIC by issuing policy statements, guidance notes and class orders.
• Provision of information about the legislation that falls within ASIC's jurisdiction to consumers, companies and investors.
• Liaison with overseas regulators.

Output 1.1.2 — Comprehensive and accurate information on companies and corporate activity

Activities undertaken include:

• Maintaining a comprehensive, accurate and up to date corporate register.
• Stakeholders are provided with timely information about their obligations under the Corporations Act 2001.

Output 1.1.3 — Compliance, monitoring and licensing of participants in the financial system to protect consumer interests and ensure market integrity

Activities undertaken include:

• Undertaking compliance activities on specific patterns, problems or risk areas and to respond to these problems using a range of regulatory tools.
• Issue, amend or refuse licenses to entities and individuals to sell and advise on financial products and services.
• Approve new managed investment schemes and new Australian market licences.
• Responding to novel and standard applications from companies to exercise our discretion to modify the law.
• Determining whether Australian market licensees comply with the standards of supervision required by the law.

Administered item — Assetless Administration Fund.

• ASIC finances preliminary investigations and reports by liquidators into the failure of companies with little or no assets that have been selected by ASIC, where it appears that enforcement action may result from the investigation and report. A particular focus of the Assetless Administration Fund is to curb fraudulent phoenix activity.

Output 1.1.4 — Enforcement activity to give effect to the laws administered by ASIC

Activities undertaken include:

Expediting enforcement actions and litigation to maintain corporate and public confidence in financial markets, and compliance with the Corporations Act 2001 generally.

Investigating reports of crime and misconduct received from the public.

• Extent to which advice and recommendations are approved by the Minister.
• Extent to which ASIC provides guidance and that there is effective consultation about that guidance.
• Consumer and investors are provided with information about their rights and responsibilities and how best to make informed choices under this legislative regime.

Full compliance with the consultation requirements set out by the Office of Best Practice Regulation.

80 per cent of advice to Minister on markets rule changes within 14 days of lodgement.

Increased number of visits to ASIC's consumer website — FIDO (www.fido.gov.au).

An increase in the number of High Schools that use ASIC's new superannuation and insurance interactive schools resources measured over a two year period.

The percentage of issuers of Unlisted and Unrated Debentures (UUD) that distributes ASIC's UUD investor guide with their prospectus.

Increased media coverage of ASIC's consumer messages.

Over the longer term — improvements in financial literacy levels as shown in ANZ's National Financial Literacy survey that is undertaken every two years.

• Ensuring the corporate register is available to the public to search.
• Ensuring the corporate register remains current and up‑to‑date by processing changes promptly and efficiently.
• Providing stakeholders with information about their obligations under the Corporations Act 2001.

Availability of the corporate register.

Increase in the number of searches of the corporate register.

Percentage of key documents processed within 48 hours of receipt.

Increased percentage of documents lodged electronically as a result of initiatives adopted by ASIC.

Increased percentage of company data lodged on time as a result of initiatives adopted by ASIC.

All companies provided company statements by ASIC within 14 days of their annual review date.

Call centre answers at least 80 per cent of all calls within 60 seconds.

• Compliance activities lead to the identification of specific behaviour patterns, problems or risk areas and most appropriate responses to them.

• Prompt and efficient notification to entities and individuals regarding their application for, or amendment to their license requests.
• Prompt and efficient assessment of capital markets.
• Discretionary decision making in accordance with principles of administrative law.

Entities make better disclosures to the market where specific behaviour patterns, problems or risks have been identified associated with fund raising.

Entities make better disclosures in disclosure documents where specific behaviour patterns, problems or risks have been identified associated with financial services and products.

Entities make changes to their compliance arrangements and/or behaviours where specific behaviour patterns, problems or risks have been identified.

70 per cent of applications for Australian Financial Services (AFS) licences and variations to AFS licences decided within 28 days.

100 per cent of managed investment schemes registered within 14 days.

80 per cent of recommendations to the Minister on new market licences made within 16 weeks of receiving a complete application.

80 per cent of findings on assessment of markets are provided to the licensee within 2 months of inspection.

No successful appeals to the Administrative Appeals Tribunal regarding ASIC decisions to grant AFS licenses or to provide ASIC relief.

• Prompt and efficient conduct of investigations resourced.
• Enforcement actions lead to the protection of consumers and investors.
• Complaints received are resolved promptly and efficiently.

50 per cent of investigations resourced that led to a conclusion within 6 months of commencement.

No more than 15 per cent of investigations resourced that led to a conclusion after 12 months of their commencement.

Percentage of successful criminal prosecutions by the Commonwealth Director of Public Prosecution.

Percentage of successful civil prosecutions.

70 per cent of investigations resourced that lead to an enforcement outcome.

Customer service levels maintained with a minimum of 70 per cent of complaints assessed, finalised and the complainant notified of outcome within 28 days of receipt.