ASIC enforcement priorities for 2026: new priorities and new appetite for litigation

ASIC has announced its enforcement priorities for 2026, with protecting small businesses, superannuation members, and improving market integrity remaining key objectives. 

However, new areas of focus have emerged: misleading pricing, private credit, insurance complaints and financial reporting being elevated to key targets. 

An appetite for litigation

In her commentary on priorities, Deputy ASIC Chair Sarah Court emphasised that:

1. in the last 12 months ASIC doubled the number of new investigations and nearly doubled the number of new matters filed in court; and
2. ASIC worked hard to increase criminal prosecutions.

It is clear that ASIC has an appetite to investigate and prosecute.

ASIC is going for “big brands” and looking for high penalties. For example, ASIC recently settled its “omnibus proceedings” against big-four bank ANZ on the basis of agreed penalties of AUD240 million (subject to Court approval) and seeks AUD85 million against iconic Australian retailer Harvey Norman.

The Shield and First Guardian fallout

The reverberations from the collapse of the First Guardian and Shield schemes are ongoing and have influenced ASIC priorities. Holding those responsible to account for this collapse is also a key priority.

Australians have lost over AUD1 billion in this collapse, and ASIC is suing ratings agency SQM Research who gave a “favourable rating” to the Shield Master Fund on the basis that it “fell short of expected standards.” Further, it is suing financial advisers MWL Financial Services (a former director) and lead generator Imperial Capital Group Australia. More cases will follow.

There is a salutary lesson to be learned about due diligence for platforms recommending investments.

Market Integrity

The necessary actions to protect market integrity have many aspects. ASIC’s enduring priorities include investigation and prosecution of continuous disclosure breaches and market manipulation. While insider trading has long been an enforcement priority, ASIC has now put it firmly on the agenda and is stepping up its focus.

Other 2026 priorities include financial reporting misconduct, including failure to lodge financial reports and audit misconduct. While a somewhat "softly, approach" has been signalled about the content of the new , we expect failure to lodge Sustainability Reports will be a target.

Consumer Protection

An enduring priority for ASIC is misconduct involving a high risk of significant consumer harm,    particularly conduct targeting financially vulnerable consumers. However, ASIC‘s focus seems to be shifting to matters related to pricing transparency (given the inflationary impacts on financial products) and the fairness and efficiency of key areas of interface between consumers and their insurers and superfunds.

ASIC’s focus on insurers has shifted to claims and complaint handling, which are often key areas of consumer dissatisfaction Member service failures by superfunds is another ASIC target area. ASIC has an ongoing focus on National Consumer Credit Protection compliance, including in respect of hardship applications and credit offerings which involve the sale of consumer goods with payment by instalment.

Private Credit Practices

ASIC has demonstrated a keen interest in private credit and signalled concerns about the growth in private credit funds and non-bank lending attracting retail and wholesale investors. This has sometimes included increased surveillance across investment managers who offer retail products with investment. ASIC has now flagged its intention to investigate poor private credit practices as a priority.  

Greenwashing

Despite some recent high profile wins in greenwashing claims against financial institutions, it was not signalled as priority area for 2026. However, we consider ASIC will continue to take a high interest in greenwashing and other and ESG misconduct.

How we can help

Our team can help you navigate the regulatory landscape and prepare for increased litigation risk. Contact our team below to discuss practical steps to stay compliant and manage exposure.