Financial risks

NARROWER TERMS
Guide

Auditing risk culture: a practical guide

Specifically developed in the context of Australian financial services organisations for internal auditors, senior management, board audit committees and other assurance providers, this 40-page guide will be useful more broadly: in non-financial organisations and both within and outside Australia.
Discussion paper

Financial conditions and downside risk to economic activity in Australia

The key finding in this paper is that financial conditions provide useful information about downside risks to GDP and employment growth, and upside risks to the unemployment rate. That is, when financial conditions are extremely restrictive, the risks of very bad outcomes for these variables...
Discussion paper

The role of collateral in borrowing

This paper studies the role of collateral in credit markets under stress.
Report

The Australian Taxation Office’s management of risks related to the rapid implementation of COVID-19 economic response measures

The objective of this audit was to assess whether the Australian Taxation Office (ATO) has effectively managed risks related to the rapid implementation of COVID-19 economic response measures.
Report

Services Australia COVID-19 measures and enterprise risk management

The objective of this audit was to assess whether Services Australia had effectively managed risks related to the rapid preparation for and delivery of COVID-19 economic response measures.
Report

The rise of megaprojects: counting the costs

Australian governments are fast-tracking their transport projects, hoping for an infrastructure-led recovery from the pandemic-induced recession. This report argues that governments need to rethink major projects that have been promised or are under construction, particularly those announced without a business case.
Report

Financial knowledge of New Zealanders

Recognising the importance of measuring financial knowledge as a building block of financial capability, this report analyses New Zealand’s results by age, gender, ethnicity, education, employment status and personal income to identify areas of need and opportunity when targeting delivery of financial education.
Working paper

Increased risk taking, not loss tolerance, drives adolescents’ propensity to gamble more under peer observation

In the presence of peers, adolescents’ relative weighting of losses to gains (loss aversion) increases. This is good news for policy, suggesting that appealing to loss aversion should be especially effective at reducing harmful adolescent behaviours committed in the presence of peers.
Working paper

How people react to pension risk

This paper shows that people exposed to greater pension risk are less likely to invest in risky assets. The authors exploit a reform that links people’s future pension benefits to their pension funds’ funding ratio—a measure of the fund’s financial health—making funding ratios a fund-specific...
Conference proceedings

CPD business roundtable on climate and sustainability: summary of conclusions

The discussion outlined in this roundtable summary document highlights that the bar on climate risks continues to rise for Australian company directors, investors and regulators. It also suggests there is strong support for accelerated action on climate change and a new national mission to address...
Policy report

Climate risk and fiduciary duties

Investors have a clear legal obligation to manage climate risks. In addition, financial regulators around the world are now requiring a proactive response from investors and companies to manage climate related financial risks in order to ensure financial stability.
Policy report

Delivering an investable long-term emissions strategy

The Australian and New Zealand Governments have committed to release long-term emissions strategies in 2020 under the Paris Agreement. This paper provides an overview of the role and implications of long-term emissions strategies for institutional investors, such as super and pension funds, in Australia and...
Blog post

A risky proposition? Australian aid loans and the Pacific

Just because other donors have struggled to lend successfully in the Pacific does not mean Australia is destined to fail. But the track record of loans in the region provides cause for caution.
Commentary

Australian universities can’t rely on India if funds from Chinese students start to fall

From a business perspective, investing so much in one portfolio is risky, and universities need to diversify where they’re getting their income to ensure a stable economic future.
Report

The China student boom and the risks it poses to Australian universities

This report establishes the scale of Australian universities’ China risk, assesses the difficulty of addressing it, and proposes steps to take toward reducing it in a fiscally and educationally responsible way.
Guide

Protect your charity from fraud

This guide is aimed at board or committee members, trustees and managers of charities. It will also be of interest to employees and volunteers. It is designed to help protect your charity from fraud and other financial crime.
Report

Task Force on Climate-Related Financial Disclosures: 2019 status report

As part of its efforts to promote adoption of the recommendations, the Task Force prepared this status report to provide an overview of current disclosure practices related to core elements of the TCFD recommendations, as well as additional information to support preparers in implementing the...
Report

Task Force on Climate-Related Financial Disclosures: 2018 status report

As part of its efforts to promote adoption of the recommendations, the Task Force prepared this status report to provide an overview of current disclosure practices related to core elements of the TCFD recommendations as well as additional information to support preparers in implementing the...
Report

Major risk or rosy opportunity: are companies ready for climate change?

This report analyses responses from companies to CDP’s questionnaire in 2018 and focuses on what companies are reporting about the risks and opportunities they may face from climate change and its potential financial implications.
Briefing paper

Self-assessments of governance, accountability and culture: information paper

APRA has released this report analysing the self-assessments carried out by 36 of the country’s largest banks, insurers and superannuation licensees, in response to the final report of the Prudential Inquiry into Commonwealth Bank of Australia (CBA).