The Australian Securities and Investments Commission (ASIC) has amended its Market Integrity Rules for securities and futures markets to address the risks of algorithmic, AI, and machine learning trading, and is consulting on updated guidance.
What changes
- Trading participants must test, monitor, and govern their trading systems and algorithms more rigorously.
- The rules on false or misleading trading now clearly cover AI-enabled activity.
- The same requirements apply to manually entered and automated orders, in line with IOSCO principles.
- The amendments take effect in 2028, after an 18-month transition; comments on the draft guidance are due by 5 November 2026.
The changes directly affect participants on Australian securities and futures markets, but they are a useful model for any firm governing AI in high-impact decisions: documented testing before deployment, ongoing monitoring, and clear accountability for automated systems.
Source: ASIC media release 26-226MR
This update is general information, not legal advice. If you would like help assessing the impact on your information security or privacy programme, contact us.
