ASIC Grants 290 New AFS Licences in FY24-25

In a significant development for the brokerage industry, the Australian Securities and Investments Commission (ASIC) announced that it granted 290 new Australian Financial Services (AFS) licences for the year ending June 30, 2025, while cancelling or suspending 215 others. 

What occurred?

According to a new report, ASIC issued 290 new AFS licences during FY2024-25 (July 1, 2024, to June 30, 2025) while also revoking or suspending another 215. During that period, the regulator also removed 6,900 investment scam and phishing websites. 

What's at stake?

This dual action has clearly sent a strong signal to forex and CFD brokers, as Australia remains a vibrant hub for new brokers. Clearly, the stricter enforcement by the regulator is an indication of tougher measures moving forward in terms of compliance. Brokers will need to continue staying compliant with reporting, conduct, and transparency to ensure the ongoing solvency of their licences. 

WikiLix Insight

For WikiLix readers, the takeaway is obvious: always check the broker's licence status on the ASIC register. The high number of licences issued and cancelled supports the argument that just having an "AFS-licensed" broker does not necessarily mean it is "safe." It is always better to stick with brokers that have been around for a long time, with a steady compliance history, rather than newly-licensed brokers.