Written by Zoe Moulton – Consultant, Business Continuity
The Australian Prudential Regulation Authority (APRA) released a discussion paper outlining a range of topics to be covered in the new prudential standards for the superannuation industry.
The topics relate to all its regulated industries including Governance, Fit and Proper, Risk Management, Business Continuity Management (BCM), Outsourcing, Audit and Related Matters, in addition to other superannuation specific matters to be reviewed.
APRA Deputy Chairman Ross Jones said the proposed prudential standards will significantly strengthen the superannuation system.
Currently, BCM requirements and guidance material are minimal. However, APRA is proposing to expand them to encompass the differences between superannuation and other APRA regulated industries in the Prudential Standard SPS 232 Business Continuity Management (SPS 232). Particular emphasis will be placed on the obligations of the Board and senior management, the BC Plan itself as well as the industry’s high incidence of outsourcing and the subsequent implications for BCM.
Submissions relating to the APRA discussion paper’s proposals were due by 23 December 2011.
The “Prudential Standards for Superannuation – September 2011” can be found at http://www.apra.gov.au/Super/Pages/superannuation-prudential-standards-consultation.aspx