Australian Prudential Regulation Authority (APRA) About The
Australian
Prudential
Regulation
Authority
(APRA) is an independent statutory authority that supervises institutions across banking, insurance and
superannuation, and is accountable to the Australian Parliament.
Prudential regulation is concerned with maintaining the safety and soundness of financial institutions, so
that the community can have confidence that they will meet their financial commitments under all reasonable circumstances.
APRA oversees:
- Authorised deposit-taking institutions (such as banks, building societies and credit unions) - General insurers - Life insurers
- Friendly societies
- Private health insurers
- Reinsurance companies, and
- Superannuation funds (other than self-managed funds) In the event an APRA-regulated institution were to fail, APRA has the role of administering the Financial Claims Scheme when activated by the Australian Government.
This Scheme allows depositors of a failed deposit-taker to access their funds (up to a limit) in a timely manner, or provides general insurance policyholders with access to funds (up to a limit) to meet an eligible claim.
What kind of work?
APRA is organised into the following six divisions and one
independent internal team: Banking Division; Insurance Division; Superannuation Division; Policy and Advice
Division; Cross-Industry Insights and Data Division; Enterprise Services Division; Internal Audit team.
Location
All capital cities
Student Opportunities
APRA offer two different scholarships to students studying actuarial studies, finance, economics and similiar. You can find more information here:
https://www.apra.gov.au/grants-and-scholarships
Graduate Opportunities
APRA offer an 18-month graduate program in Sydney,
Melbourne and Brisbane. Graduates complete three six-
month rotations, across the frontline supervision, policy
development and data analytics divisions. The graduate program is aimed at students looking to become finance professionals.
You can find more information here:
https://www.apra.gov.au/apra-graduate-careers
Fun Fact / Recent Project Issuing Directions
The Royal Commission into Misconduct in the Banking,
Superannuation and Financial Services Industry in 2019 found that super fund NULIS did not act in the best intrest of its members. NULIS was found to have grandfathered
certain fee arrangements and charged fees to members for services that were not provided.
In response, APRA conducted an investigation that resulted in them issuing directions and imposing
additional registrable siperannuation entity license conditions on NULIS to improve its governance and
control environment, and ensure members' best interests are prioritised in its decision-making.
Legal Services fall under the the Policy and Advice Division, which ensures that APRA's frontline supervisors have the best possible tools to support them in their risk
analysis and supervisory interventions. Also in this divison
is Policy Development, Advice and Approvals, Resolution and Enforcement, and Licensing.
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