The best way to get bankers to behave well might be to bind them to a code of ethics, like doctors. We've tried ever tighter rules.
ASIC is under pressure to take every significant case to court. But that would delay justice and break its budget.
Negotiated deals between ASIC and alleged wrongdoers leave us in doubt as to the reach of the law.
Compare the ACCC to ASIC and it's clear why
Rod Sims has been reappointed to a record third term as Australia's top competition and consumer cop.
Getting better behaved banks isn't difficult. Here are three places to start.
In his three volume 1,000 page interim report Commissioner Hayne has built an irrefutable case for root and branch reform.
How can our major institutions, particularly from the banking and finance sector retain their corporate legitimacy? What role should their boards be playing?
Royal Commissioner Kenneth Hayne is arguing for less and clearer law, and tougher corporate cops.
Flaws in the ABC Act set up conflict and allow the government to pressure it.
Product disclosure laws are meant to help insurance buyers make informed rational decisions. Our research shows more must be done to protect consumers.
Let's recognise the limitations of regulation as we try to improve outcomes. Money spent on new regulations may be better put to further educating future customers.
Researchers found that larger banks are more likely than their smaller peers to experience "operational losses", which includes a failure to meet obligations to clients.
The financial services industry is in need of a new paradigm to rediscover what finance is for – to improve the financial and economic well-being of society.
Putting regulators inside corporations isn't new, and the US experience highlights risks of regulatory capture, but the move could make a difference if ASIC is shifting to more robust enforcement.
Evidence to the Banking Royal Commission points to the systemic failings of corporate governance built on the idea of shareholder primacy. It's time to rethink the unitary board system for a start.
Pressure to meet ever-higher performance targets can lead to misconduct of the sort exposed by the royal commission. Targets need to operate within a framework of ethical governance to avoid this.
Restructuring might help manage conflicts of interest between offering advice and selling products, but it doesn't fix the culture that sacrifices customers' interests to the pursuit of profits.
Under the right circumstances, most people will act in ways that are opposed to their own morals.
“You can’t just come in like a fly and take-off” - patience and time on community is key to improving financial well-being in remote communities.
Splitting company boards and allowing employees to elect board members are just the start of the reforms needed to fix corporate governance.