In December 2017, ASIC issued Regulatory Guide 264
Sell-Side Research (RG 264) following a comprehensive
examination into the management of inside information and conflicts
of interest during the conduct of sell-side research activities.
Specifically targeted at financial services licensees, RG 264 seeks
to ensure that sell-side research is safeguarded from the influence
of both issuing companies and the licensee's corporate advisory
team. With the guide recently taking effect on 1 July 2018, a
discussion of its key features and expectations is timely.
Licensees must ensure they have appropriate policies and
procedures for the identification and management of inside
information. RG 264 has envisaged a compliance/control function
(compliance) that will monitor or regularly review
the effectiveness of these policies and procedures.
