Clearing and Settlement of Cash Equities in Australia

Business Committee

The ASX Business Committee was convened by ASX Limited (ASX) under its Code of Practice in August 2013.  In October 2016, ASX updated its Code of Practice (the ASX Cash Equities Clearing and Settlement Code of Practice) to set out its commitment to comply with the Regulatory Expectations for the Conduct of Cash Equity Clearing and Settlement Services in Australia (Regulatory Expectations), and its commitments to users in managing clearing and settlement infrastructure and services for the Australian cash equities market.  Under the revised Code of Practice, the role of the Business Committee was updated as a mechanism for input in to ASX’s governance framework.

Role of the Business Committee

The role of the Business Committee is to provide:

  • input for consideration by ASX Management and the Boards of ASX Clear and ASX Settlement on the ongoing operation of cash equities clearing and settlement infrastructure and services provided by ASX;
  • input for consideration by ASX Management and the Boards of ASX Clear and ASX Settlement on setting the ASX investment strategy for cash equities clearing and settlement infrastructure and services development, and the system design, operational arrangements and implementation plan for new cash equities clearing and settlement infrastructure and services provided by ASX;
  • advice to ASX Management to assist in progressing cash equities clearing and settlement initiatives of interest to the industry, with the aim of facilitating service innovation and improving overall market efficiency; and
  • a mechanism for ASX Management and the Boards of ASX Clear and ASX Settlement to consult clearing participants, settlement participants and other market operators regarding their strategic plans and investment decisions in relation to the design, operation and development of the core clearing and settlement infrastructure and services for the Australian cash equities market.

The Business Committee comprises representatives of clearing participants, settlement participants, alternative market operators and relevant industry organisations.  The objective for the Business Committee is for it to comprise executives with a deep understanding of clearing and settlement, for example, Chief Operating Officers.

Business Committee Membership

Company Name Title
ABN AMRO Clearing Mr Barry Parker Chief Executive Officer
AFMA Mr David Lynch Chief Executive Officer
ANZ Mr Peter Mullin Head of Distribution ANZ SI, Wealth Australia
Bank of America Merrill Lynch  Mr Rhys Cahill Global Markets COO 
Bell Potter Securities Mr Dean Surkitt Managing Director Retail
BNP Paribas Mr Luc Renard Head of Clearing & Custody
Chi‑X Australia Mr Mike Aikins  Chief Operating Officer 
Citi Mr Miles O’Connor Director, Direct Custody & Clearing Securities & Funds Services
Common Wealth Bank of Australia Mr Sheridan Thompson Head of Strategic Development, CommSec
Credit Suisse Mr Winston Loke Australia Equities COO
Deutsche Bank AG Mr Geoffrey Plaisted Chief Operating Officer, Equities
Goldman Sachs Mr Jeremy Follett  Executive Director Operations
HSBC Mr Peter Snodgrass Head of Direct Custody and Clearing
J.P. Morgan Mr Jonathan Evans Head of Custody and Markets Operations
Macquarie Group Mr James Indge Cash Equities Business Manager 
Morgans Mr Peter Chisholm  Manager, Transactional Services & Settlement Systems
Morgan Stanley Mr Craig McGuire Head of Operations
National Australia Bank  Mr Greg Bowrey General Manager, Self-Directed Wealth Products & Markets
NSX Ms Ann Bowering  Managing Director
Perishing Securities Mr Rob Forbes Chief Executive Officer
Stockbrokers and Financial Advisers Association Mr Andrew Green  Chief Executive Officer
Sydney Stock Exchange Mr Tony Sacre Chief Executive Officer
UBS Mr Conor Foley Chief Operating Officer

Technical Committee

In some circumstances, it may be appropriate for the Business Committee to appoint and convene technical committees to assist in the performance of its role.  A Technical Committee comprising ASX (Chair) and industry representatives has been formed to focus on CHESS messaging and the adoption of  ISO 20022 messaging.  The adoption of ISO 20022 is a major work‑stream for the CHESS Replacement project and members of the Technical Committee will be involved in the detailed work associated with this work‑stream.  The key objectives, activities and governance of the Committee as well as meeting agendas and papers can be found here.