ASIC extends wholesale markets pact with FMSB

ASIC has extended its cooperation with the Financial Markets Standards Board (FMSB) for another three years, continuing a partnership focused on the development of global standards for fair and effective wholesale financing markets.

The extension will take the agreement between ASIC and the FMSB through to 25 September 2029, building on an arrangement first established in September 2022 and previously extended in 2024.

The agreement provides for FMSB to consult ASIC as it develops draft standards, guidance materials and other publications, while also providing the regulator with periodic updates on the standards body's strategy.

ASIC said the relationship reflects the organisation's shared interest in maintaining and, where appropriate, improving best practice standards and operational practices among market intermediaries in Australia.

The relationship has also strengthened alongside what ASIC described as an increased Australian connection with the FMSB's board of directors.

The extension reinforces ASIC's participation in the development of global industry standards and its engagement with the FMSB on wholesale financial market practices, particularly across fixed income, currencies and commodities markets.

However, ASIC's involvement does not amount to an endorsement of FMSB publications.

ASIC also stressed that industry standards developed by FMSB do not replace obligations imposed under Australian law.

The FMSB is an industry led member-funded global standards body for wholesale financial markets, with members spanning banks, investment institutions, market infrastructure and information providers, corporates, data service providers, pension funds and interdealer brokers.

It develops standards alongside Statements of Good Practice and Spotlight Reviews aimed at promoting good practice across global wholesale markets.

The latest extension will maintain the consultation framework for a further three years unless the agreement is subsequently extended or terminated under its terms.

ASIC continued engagement comes as wholesale markets remain increasingly interconnected across jurisdictions, making coordination around market practices and standards an ongoing focus for regulators and industry bodies.