ASX tech spend drives capex to $200m

The ASX's capital expenditure (capex) is set to blow out to between $180 million and $200 million, primarily driven by technology costs and new product development.

The new estimates have increased from the previously anticipated $160 million to $180 million.

Technology modernisation is largely driving the 18% to 21% jump in total expenses. Much of this stems from technology cost inflation, and support and maintenance costs for new technology platforms for CHESS Release 1 and enterprise cloud, data and integration platforms.

Several reform initiatives are also driving up expenses. This includes investing in its response to the ASIC Inquiry, most notably the Accelerate program.

The program involves a reset of new targets and benchmarking agreed to by ASIC and the Reserve Bank of Australia (RBA) and "reviewing workstream target states to ensure appropriate aspiration" for its key role as the operator of critical market infrastructure and adding governance and independence workstreams to address key inquiry findings.

The money has also been allocated to customer-driven growth initiatives and market innovation, such as new data and technology initiatives, expanding derivatives product offerings, refining listing policies and uplifting issuer experience.

Initial investments in tokenisation have been made, including collateral mobilisation and exploring tokenised trading and settlement models.

The new estimates reflect investments needed to continue to be a steward of critical market infrastructure, the ASX said. "The Final ASIC Inquiry Panel Report identified historical underinvestment compared to global peers, which ASX has committed to address with faster pace and greater ambition."

In early January, the ASX flagged the first half of the 2026 financial year already incurred a 20% rise in total expenses to $264.4 million.

The bourse announced yesterday it entered into an agreement to sell its 49% interest in electronic property settlements company Sympli Australia to its joint venture partner ATI Group for a nominal amount.

This will result in an after-tax loss of about $12 million being recognised as a significant item in FY26.

The ASX invested $30 million in Sympli in 2018. Sympli allows parties prepare and lodge instruments and settle funds through an electronic lodgement network.