AGP Executive Report

SMSF Lending Backlash: Mortgage brokers say investors are pausing or pulling back after a proposed SMSF lending ban, warning it could further tighten housing finance at a time of shortages and rental pressure. Regulatory & Market Context: Industry figures argue the issue is more about behaviour on the fringes than systemic risk in licensed SMSF lending, as debate heats up around the policy’s impact on capital flows. WiseTech Probe: WiseTech shares slid after AFP human exploitation taskforce allegations tied to founder Richard White, with the case centred on claims involving a former employee and alleged visa-related misconduct. Payments Modernisation Theme: A push toward real-time settlement is gaining momentum as Australia’s BECS decommissioning deadline approaches, putting fintech and payments infrastructure in the spotlight for investors. Cybersecurity Warning: Five Eyes says frontier AI could outpace current cyber defences within months, urging faster security upgrades and stronger access controls. Data Centre Pressure Pact: Mayors including Melbourne back a global agreement to set standards for urban data centre growth, targeting electricity, water and land-use impacts. Banking/Finance Funding: Singtel Optus priced $200m 10-year fixed-rate notes in Australia, extending debt maturity as proceeds fund operations.

RBA Rate Shock: Major banks are split after the RBA warned another hike could be coming, with Canstar saying mortgage repayments are set to rise “like a hammer” for many borrowers. Housing & Tax: Westpac flags federal Budget tax changes will likely cut housing turnover by 20% and push prices down about 2% nationally from mid-2026, with bigger hits expected in Sydney and Melbourne. Federal Tax Reform Deal: Labor and the Greens have struck a deal to pass capital gains tax and negative gearing changes, including a Greens amendment aimed at stopping wealthy investors using SMSFs to buy investment property. NSW Cost-of-Living Budget: NSW Treasurer Daniel Mookhey delivered a “people’s budget” with a $50 weekly toll cap, Opal fare freezes and $100 off private vehicle registrations, while still projecting deficits until a surplus in 2027/28. Markets Watch: ASX futures point slightly higher on US-Iran peace-talk optimism, but WiseTech shares are still roiled after reports of an AFP investigation into its chairman. Business Credit Stress: Equifax data shows AFSA insolvencies up 9.3% YoY in April, while ASIC company insolvencies fell 10%, suggesting stress is concentrating in smaller, unincorporated firms. Fintech & Investing Tools: CMC Invest launched CMC Intelligence, an AI tool for portfolio and instrument insights across shares, ETFs and crypto. Debt Funding: KKR-backed Zenobe raised $400m in new debt to expand its electric bus and truck fleet in Australia and New Zealand.

ASIC Web3 Ruling: ASIC chair Sarah Court says the High Court’s appeal against Web3 Ventures clarifies when products promising returns fall under Australia’s financial services rules. Cybersecurity Warning: Five Eyes agencies (including Australia’s ACSC) issue a rare joint alert that AI is changing cyber risk fast, urging governments and business to act now. NSW Cost-of-Living Relief: NSW will cut toll caps from $60 to $50 for 12 months and scrap admin fees, with the budget estimating $520 back for eligible motorists. Market & Policy Backdrop: Global sentiment is being driven by US-Iran talks and oil moves, while investors watch inflation and jobs data. Banking/Finance Signals: A major ICE–OKX joint venture aims to connect crypto users to NYSE tokenised equities and ICE futures via a regulated US structure, pending approvals. Housing Pressure: Clearance rates keep slipping, with more than half of homes failing to sell at auction—another hit to buyer confidence. Superannuation & Tax: ATO and EOFY coverage continues to focus on Australians’ super top-ups and tax-time mistakes.

Markets & Rates: The ASX 200 is set for a cautious start after renewed Middle East worries around the Strait of Hormuz lifted oil and pushed bond yields higher, keeping investors wary of inflation and future RBA moves. Property & Consumer Confidence: Weekend auction clearance rates fell to a six-year low, with preliminary capital city results at 47.4%, under 50% for the first time since April 2020—raising fresh concerns for house prices, household spending and state stamp duty revenue. Banking & Tech Leadership: Commonwealth Bank has appointed a new group CTO to drive enterprise technology and AI capabilities, signalling continued investment in tech foundations and delivery accountability. Regulation & Enforcement: ASIC has charged property developer David McWilliams over an alleged $10m fraud involving investor funds earmarked for disability housing. Corporate & Sector Watch: Inghams shares slid on bird flu fears after H5N1 was detected in wild birds in WA, triggering high biosecurity vigilance. Super & Policy: Gambling reform debate heats up in federal parliament as crossbench pressure grows over consultation and the scale of “harm” from gambling advertising. Fintech/Investing: Renascor Resources says it has started processing graphite through its demonstration plant, a key step for its battery-grade graphite ambitions. Community & Cost of Living: The Salvation Army expands welfare outreach via Connectivi-Tea, citing widespread stress, anxiety and reliance on savings among Australians.

Scam Refund Debate: A Melbourne woman, Jane*, lost $646,035 to a romance scam after moving chats from Hinge to WhatsApp, reigniting calls for banks and dating apps to be forced to refund victims when scams slip through “tough” anti-scam laws that won’t fully bite until 2027. Payments Expectations: Australians are moving on from the old 3–5 business day transfer norm as PayID and the New Payments Platform drive near-instant expectations, pushing banks and fintechs to compete on speed and liquidity. Banking & Super: With the RBA holding rates and household costs still tight, readers are also looking at practical choices like term deposits vs ASX dividend shares and what super balances mean at different ages. Market/Policy Backdrop: Global markets are reacting to a more hawkish Fed tone, while Australia’s policy focus stays on managing shocks and keeping fuel and household pressures contained. Data Centres Boom: A major Melbourne hyperscale datacentre push is underway, but economists warn the productivity case isn’t automatic—highlighting the need for smarter planning as investment surges. HSBC Scam Penalties: HSBC Australia faces major fines tied to scam-protection failures, adding pressure on banks’ anti-scam controls and customer remediation. Child Online Safety: UK’s under-16 social media ban is drawing comparisons to Australia’s approach, keeping digital safety rules in the spotlight for regulators and platforms.

RBA & inflation watch: Oil and dairy prices are set to be key tells in this week’s inflation data, with ABS figures due Wednesday and analysts flagging how quickly energy and milk costs are feeding through to households. Housing & rates pressure: Melbourne auction clearance rates keep sliding (down to about 49% in early results), pushing sellers to sharpen pricing as the RBA holds. Super & retirement policy: The Greens released a wealth-and-inheritance tax plan for New Zealand, while National says it will make KiwiSaver compulsory from 2028—both stories matter for how Australians think about retirement savings design. Banking & scams: HSBC Australia faces major penalties over scam protection failures, adding to the pressure on banks to tighten fraud controls. Markets & sectors: Healthcare led the ASX last week as investors looked for value amid a softer macro backdrop. Policy debate: Labor’s immigration stance is being defended as “working” despite missing targets, keeping pressure on Australia’s labour and skills outlook. Investing basics: Multiple pieces focus on building ASX share portfolios for passive income and long-term growth, including dividend-safety and ETF-first approaches.

RBA Watch: The Reserve Bank held the cash rate at 4.35% as the economy slows, while reiterating that further hikes can’t be ruled out—keeping pressure on borrowers and bank funding expectations. Banking & Regulation: ASIC moved to tighten the screws on scams and licensing, including a 10-year ban on Brett Anthony Newbound and license cancellations tied to Freedom Wealth Services, as regulators push stronger financial services accountability. Scam Fallout: HSBC Australia was fined A$35m over anti-scam failures after customers lost A$23m, underlining how enforcement is shifting from “awareness” to operational responsibility. Corporate/Market: ASX slipped as investors digested the RBA hold and geopolitical risk, with miners weighing on the index. Fintech & Digital Finance: Islamic fintech Hejaz is preparing a global launch of Wahda, a Muslim-focused “super app” expanding beyond its Halal Money offering. Crypto & Courts: Australia’s High Court backed ASIC in the Block Earner crypto yield licensing dispute, reinforcing that yield-style crypto products can trigger financial services obligations. Global Finance Angle: Jio Platforms filed for a record $3.8b IPO, earmarking proceeds to prepay foreign-currency telecom debt—highlighting how Australian-linked lenders remain exposed to major regional listings.

RBA & Rates: The Reserve Bank held the cash rate at 4.35% but kept a hawkish tone, warning further hikes may still be needed as the economy slows—another reminder for borrowers and investors to plan for “rates not done yet.” Banking & Regulation: ASIC action continues to bite: HSBC Australia faces major penalties over scam-protection failures, while regulators also move on data and conduct issues across financial services. Super & Household Finance: New Age Pension rules and income/asset test details are in focus, alongside practical guidance on how much super you may need for a target retirement income. Markets & Investing: ASX sentiment remains mixed as investors digest central-bank signals and global risk factors; meanwhile, US reporting proposals (semiannual vs quarterly) are being watched for knock-on effects in sectors like gaming. Fintech & Digital Identity: Western Australia is trialling live facial recognition in public spaces, while digital ID and biometrics coverage highlights the growing push for resilience against AI-driven fraud. Energy & Agribusiness Deals: An Australian urea/AdBlue project claims $2.4b in pre-sold output before construction, and wheat producers are challenging tariff reference-price decisions tied to import competition. Business & Corporate Australia: Commonwealth Bank leadership changes and broader tech investment moves are noted, as the sector weighs cost pressures and transformation priorities.

RBA Watch: The Reserve Bank held the cash rate at 4.35% while warning hikes may not be over, keeping pressure on borrowers and reinforcing a cautious tone for the economy. Banking & Super: A major High Court win backed ASIC in the Block Earner crypto yield case, tightening licensing expectations for crypto products sold to Australians. Scam Crackdown: HSBC Australia faces a $35m penalty after ASIC action over scam-protection failures, adding to the regulator’s push for better customer safeguards. Data Centres & Water: AWS signed a recycled water supply deal with Greater Western Water for a planned Melbourne data centre, highlighting how water security is becoming part of the infrastructure pitch. Markets & M&A: Australia’s deal and funds landscape continues to consolidate, while ASX sentiment remains sensitive to global rate and oil signals. Housing & Policy: New population figures put Australia’s housing pipeline under the spotlight, as governments and councils face mounting supply and affordability pressure. Investing Trends: EV finance is shifting from niche to mainstream, with EV and plug-in hybrid share rising and resale/infrastructure concerns easing.

Banking & Regulation: ASIC bans Brett Anthony Newbound for 10 years and cancels Freedom Wealth Services licences, spotlighting ongoing enforcement in financial advice. Big Four & Markets: Commonwealth Bank appoints new CIO/CTO roles to lift technology and AI strategy, while ASX trade stays choppy as investors weigh Fed-rate expectations and a stronger US dollar. Policy & Tax: Albanese expands CGT exemptions after backlash, but employers and startups say the changes still don’t go far enough—especially with negative gearing and small-business impacts in focus. Scams & Consumer Protection: HSBC faces major penalties in Australia over scam-protection failures, adding pressure on banks’ fraud controls. Property & Housing: Commentary warns build-to-rent timelines could tighten supply and keep rents supported, while housing affordability data puts more pressure on would-be buyers. Capital Markets & Deals: International Graphite raises $4m via placement to fund European and WA processing, and Electro Optic Systems surges ahead of ASX 200 inclusion.

Banking & Regulation: ASIC has moved against HSBC over alleged “widespread and systemic” scam-protection failures, with the bank facing major penalties in Australia after regulators said internal controls and complaint handling left customers exposed. Housing Policy: The Housing Industry Association warns Labor’s proposed CGT changes will cut housing supply by about 35,000 homes, arguing the tax settings will deter investment rather than redirect it into new builds. Markets & Rates: The RBA held the cash rate at 4.35%, but reiterated the risk of further hikes, keeping pressure on mortgage holders and shaping near-term bank-share sentiment. Competition & Insurance: Zurich’s proposed acquisition of Beazley has cleared Australia’s ACCC hurdle, with regulators saying overlap risks look limited. Infrastructure & Finance: Blackstone’s AirTrunk is seeking large loans for Sydney data-centre projects, underscoring how Australia’s data-centre boom is turning into a funding and planning balancing act. SME & Scams: New scam-focused guidance and enforcement activity continues, including calls for better reimbursement and stronger protections for vulnerable customers.

Banking Competition: Commonwealth Bank’s chief economist says mortgage refinancing is proof the market is working, with 640,000 borrowers switching each year and potential savings of up to $2,000 annually. Scam & Supervision: ASIC and HSBC are seeking Federal Court approval for an A$35m penalty after the bank admitted failures in scam protection and slow handling of customer reports. Regulatory Watch: APRA has set minimum expectations for banks, insurers and super funds to be ready for geopolitical shocks, flagging gaps in planning, security, disinformation risk and board tech literacy. Private Credit Scrutiny: ASIC is investigating private credit funds and warning managers to ground valuations in realistic assumptions as liquidity tightens and borrower stress rises. Tax Policy Backdown: Labor has expanded CGT concessions for small businesses (turnover threshold lifted to $10m) and introduced startup carve-outs, while scrapping a minimum tax on discretionary testamentary trusts after backlash. Fintech/Market Moves: Singapore’s Carro buys Australian used-car platform CarPlace, entering its eighth market and using tech to improve checks and dealer networks. Retail Pressure: Retail is in a “killing season” as brands close ahead of EOFY, with experts warning more closures may follow. Markets/Macro: Oil slid after US-Iran deal signals Hormuz reopening, while the Fed’s hawkish stance kept rate-hike bets elevated and supported the US dollar.

ASIC’s Crypto Ruling: Australia’s High Court unanimously backs ASIC in the Block Earner case, saying the fixed-yield crypto product required an Australian financial services licence—another big precedent for digital asset regulation. Regulator Watch: ASIC also flagged that private credit funds may be using loan valuations that lag economic reality, warning the sector to tighten how it marks risk as defaults rise. Embedded Finance Push: Paymentology is teaming with Kobble to help Australian businesses launch embedded finance faster, combining locally licensed banking infrastructure with global issuer processing. Banking & Markets: The RBA kept rates at 4.35% but warned more hikes could still be on the table, while markets tracked oil steadiness ahead of the Fed and US-Iran developments. Housing Pipeline: South Australia hit an all-time high in dwelling approvals and is speeding planning decisions via housing reforms—contrasting sharply with slower states. Retail Property Deal: Stockland and Morgan Stanley Real Estate Investing formed a strategic partnership to build a convenience retail centre portfolio worth about A$250m. Energy Network Fight: Energy Minister Chris Bowen criticised proposed changes to electricity network connection charges, arguing they could unfairly hit battery owners.

RBA & Rates: The Reserve Bank held the cash rate at 4.35% as the economy slows, but warned further hikes remain possible if inflation doesn’t cool. Market Moves: Oil slid on US-Iran peace deal hopes, dragging energy sentiment while investors watched Fed Chair Kevin Warsh’s debut and central bank calls across Asia. ASX Governance: The ASX will let shareholders vote down major capital raisings in big deals, tightening oversight after the James Hardie/Azek backlash. Banking Regulation: APRA and ASIC are consulting on cutting red tape under the Financial Accountability Regime, including removing routine fit-and-proper reporting requirements. Fintech & Payments: BIScience expanded its AdClarity CTV ad intelligence to 20 markets including Australia, while BitGo Singapore and dtcpay teamed up to build regulated digital-asset payment infrastructure. Corporate & Capital: St George Mining secured $60m via a placement to accelerate its Araxá rare earths and niobium project, backed by Hancock Prospecting. Aviation: Qantas says it will reveal the first route for Project Sunrise, aiming for ultra-long non-stop flights from eastern Australia to London or New York. Compliance & Risk: ASIC fined former Star boss Matthias Bekier $700k for failing to escalate criminal risks.

RBA Rate Call: Reserve Bank of Australia held the cash rate at 4.35% for the first time in 2026, but Governor Michele Bullock warned inflation is still too high and another hike remains possible if price pressures don’t cool. Mortgage Relief (for now): With variable-rate repayments unchanged, brokers say the pause is a chance to review home loans as refinance activity ticks up, even as borrowing capacity remains squeezed. Central Banking Backdrop: Markets digested the RBA hold alongside a Bank of Japan rate hike to a 31-year high, keeping global rate expectations and FX moves in focus for Australian investors. Fintech & Crypto Lending: Ledn says Bitcoin-backed lending could grow from about $3bn today to $1tn in a decade, citing survey gaps between interest in loans and actual usage. Tokenisation Push: Ondo Finance and Mirae Asset plan to tokenize ETFs, with an initial focus on US-listed Global X ETFs and later expansion that includes Australia. Energy Transition Capital: MCi Carbon is planning a $50m raise to scale carbon-capture materials, while SolarSquare secured $53m Series C to expand residential solar in India. Governance & Trust: A new customer communications benchmark flags rising switching risk when financial services fail on service quality, underlining the cost of poor customer experience.

RBA Watch: Markets are bracing for the Reserve Bank’s cash rate call, with the cash rate widely tipped to stay at 4.35% after three hikes, but traders will focus on the governor’s tone for any hint of further tightening. Oil & Inflation Spillover: A US-Iran peace deal has lifted risk sentiment and pushed the US dollar near 10-day lows, while attention turns to Japan’s expected rate hike and the RBA’s stance as Strait of Hormuz reopening could take weeks to fully normalise. Cost-of-Living Relief: Prime Minister Anthony Albanese is weighing extending the fuel excise discount after voter frustration, but economists warn extra stimulus could complicate inflation management. Banking & Markets: ASX sentiment is mixed ahead of the RBA, with banks a drag in early trade as investors digest the global rally sparked by the Iran deal. Tax Reform Backlash: A Senate inquiry heard claims that startup founders won’t flee Australia over capital gains tax changes, with a tax professor arguing people mobility is harder than capital mobility. AML/CTF Compliance: From 1 July 2026, new Australian AML & CTF laws expand coverage to more entities including conveyancers and related professionals, with The Conveyancing Shop confirming compliance. Climate Finance in the Pacific: Tuvalu households received automatic payouts under a parametric insurance scheme after flooding, delivering fast support without forms or claims. Business Tech & Data: ANZLIC says geospatial capability is shifting from building tools to using them in real government decision-making, aiming for a more consistent shared view of place. Super & Savings Reminder: One commentary flags how low-interest bank savings can cost Australians hundreds of dollars a year versus higher-yield accounts.