Centre for International Finance and Regulation

The Centre for International Finance and Regulation (CIFR) is a Centre of Excellence established in 2011 to address fundamental issues affecting the Australian financial industry. CIFR’s mission is to promote financial sector vibrancy, resilience and integrity, supporting Australia as a regional financial centre through leading research and education on systemic risk, market and regulatory performance and financial market developments. CIFR has funded 71 research projects, involving well over 100 researchers from domestic and international universities.

For Australia’s financial industry, CIFR provides a strategic link between academia, policy-makers, regulators and other industry participants.  By engaging with industry, undertaking world-class research, delivering highly relevant educational events and providing valuable inputs to stakeholders,

CIFR is supported by consortium partners including:

  • Government Partners: Australian Government Treasury and NSW Government Department of Industry
  • Australian University Partners: UNSW Australia, The University of Sydney, Macquarie University, University of Technology Sydney, The University of Melbourne and Australian National University
  • Research Centre Partners: CMCRC and SIRCA
  • Industry Partners: Commonwealth Bank, KPMG, Macquarie Bank and King & Wood Mallesons
14 August 2016

Australia’s ‘two strikes’ rule empowers shareholders to vote on a board spill if the compensation report of a public company receives 25% or more dissenting votes for two consecutive years.

10 August 2016

This report discusses how high frequency trading (HFT) has changed the dynamics of the market and whether traditional academic measures of market “quality” are relevant in the new world of electronic trading. Using existing measures of market quality, which were designed over 20 years ago, much of the academic literature suggests HFT is beneficial for market quality.

10 August 2016

This paper provides an insight for regulators and market participants into the sharemarket impact of application of the Basel Pillar 3 bank risk reporting regime.
A marked difference is found to exist in the frequency of the bank risk reporting regime in Australia compared to Europe.
Furthermore, a significant difference is found to exist in the respective sharemarket responses to the risk reports of domestic and European banks. In addition, particular measures of risk are found to have greater sharemarket significance than others.

4 August 2016

CIFR was proud to present a seminar on Blockchains and the Future of Finance. The Seminar was hosted by KPMG at their new Barangaroo offices in Sydney. The event was attended by almost 150 senior representatives of industry, government, financial regulators and academia.

26 July 2016

This paper investigates both investment fees and administration fees for superannuation and shows that there are economically valid reasons why most investment fees are set at their current level.

20 July 2016

Superannuation fees have come under increased public scrutiny in recent years amid a belief that they are set too high. In particular, the fees charged to investors for fund products were a focal point of the 2014 Financial System Inquiry.
Superannuation fund fees are potentially a major contributing factor in any erosion of superannuation savings over the working lives of individuals. Accordingly, the question as to whether superannuation investors are adequately rewarded for incurring higher fees is a matter of particular importance.

8 July 2016

We live in an information-based age that is characterised by rapid growth in the widespread use of technology. Associated with these developments is an exponential rate of growth in the creation of data.

7 July 2016

The net effects of algorithmic and high-frequency traders mask considerable heterogeneity in how they impact institutional transaction costs. Using regulatory data, we analyze the heterogeneity across individual trading accounts. We develop a method to identify subsets of traders causally related to higher institutional transaction costs and estimate that they add ten basis points to the cost of executing large institutional orders.

30 June 2016

This study provides a detailed analysis of the insider trading enforcement landscape across a range of common law jurisdictions over an extended period by examining custodial sentences, banning orders and various pecuniary sanctions imposed for insider trading.

30 June 2016

CIFR is pleased to contribute to the Australian Tax White Paper Task Force, in response to its ‘Better Tax’ White Paper call for submissions.

CIFR’s submission comprises:

  • A general review of the broad tax system; and
  • A detailed review of the Dividend Imputation System provided by two CIFR-funded research papers.