Global Trustee and Fiduciary Services Bite Sized Issue 10 2025

12 QUICK LINKS FINTECH MIFID II/MIFIR OPEN FINANCE SUSTAINABLE FINANCE/ESG T+1 ASIA AUSTRALIA EUROPE NORTH AMERICA UNITED KINGDOM Global Trustee and Fiduciary Services Bite-Sized | Issue 10 | 2025 Audits of RSE financial reports ASIC’s review of audit files found that auditors are not doing enough to obtain sufficient audit evidence about investment valuations in the RSE financial reports. ASIC says that, given the size of RSEs, auditors adopted high levels of materiality, which can result in less audit work and variances not being investigated. ASIC says it will continue to focus on RSE financial reports and audits as part of its 2025-26 surveillance program and will consider taking regulatory action where it sees a significant breach of the Corporations Act 2001 . Link to REP 816 here ASIC Signals Opportunity for Industry to Lift Private Credit Standards On 22 September 2025, ASIC published REP 814 its latest update on Australia’s public and private markets, where it called on industry bodies to lift their standards across Australia’s private credit sector following expert observations on better and poorer practices. The update follows ASIC’s discussion paper on evolving capital markets that highlighted the growing availability of private capital had met demand from investors and borrowers. In response to the rapid growth of private credit, ASIC commissioned a review of Australia’s private credit funds sector. REP 814 provides foundational insights on the size and nature of the sector in Australia right now and includes examples of better and poorer practices and areas for industry and regulator attention. ASIC says that REP 814 and industry feedback has also underscored that if ‘done well’, private credit complements the banking system and provides further opportunities for innovation, employment and growth. ASIC goes on to say REP 814 has identified positive private credit practices and called out concerning ones that require address. These issues include opaque remuneration and fee structures, related party transactions and governance arrangements, valuation practices and inconsistent use of terms for effective disclosure. The insights align to early findings from ASIC’s retail and wholesale surveillance work. ASIC says that, in November, it will release its response to the discussion paper on Australia’s evolving capital markets, alongside its retail and wholesale surveillance findings. The response will include clear guidance on key principles, along with additional research and expert insights to guide ASIC’s future priorities, work program and regulatory roadmap. Link to REP 814 here EUROPE ESMA Publishes 2026Work Programme On 3 October 2025, the European Securities and Markets Authority (ESMA) published its 2026 Annual Work Programme. ESMA says that its 2026 Work Programme, guided by its multi-annual strategy for 2023–2028 which sets out three strategic priorities and two thematic drivers, focuses on delivering on core policy and supervisory mandates while contributing to ambitious reforms for more integrated, accessible, and innovative EU capital markets. ESMA says it will continue to build on existing priorities, supporting the forthcoming strategic developments set out by the European Commission’s Saving and Investments Union (SIU) Strategy. This includes aligning supervisory practices across Member States, enhancing market data capabilities, and actively contributing to upcoming reforms designed to create a more integrated and globally competitive EU financial system. ESMA says it also aims at seizing opportunities arising from digitalisation, for example by facilitating the simplification and use of clear language in disclosures.