APRA and XBRL:
This presentation is the property of its rightful owner.
Sponsored Links
1 / 25

APRA and XBRL: Renewed interest after seven years Dr Steve Davies PowerPoint PPT Presentation


  • 64 Views
  • Uploaded on
  • Presentation posted in: General

APRA and XBRL: Renewed interest after seven years Dr Steve Davies. Overview. APRA’s role APRA Statistics improvement program Use of XBRL Outcome Red tape review posed risks and opportunities APRA and SBR How to promote XBRL?. 2. APRA is the integrated prudential regulator.

Download Presentation

APRA and XBRL: Renewed interest after seven years Dr Steve Davies

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Apra and xbrl renewed interest after seven years dr steve davies

APRA and XBRL:

Renewed interest after seven years

Dr Steve Davies


Overview

Overview

APRA’s role

APRA Statistics improvement program

Use of XBRL

Outcome

Red tape review posed risks and opportunities

APRA and SBR

How to promote XBRL?

2


Apra and xbrl renewed interest after seven years dr steve davies

APRA is the integrated prudential regulator

APRA’s role is to promote prudent behaviour of financial institutions to enhance public confidence.

APRA must balance financial safety with efficiency, competition, contestability and competitive neutrality.


Apra and xbrl renewed interest after seven years dr steve davies

… supervising a diverse range of institutions…

APRA

-

regulated

entities

at 31 December 2008

Number

Assets

($ billion)

-

taking institutions (ADIs)

Authorised deposit

200

2,755

.8

Banks

59

2,649.4

Building societies

1

1

21.0

Credit unions

1

22

45.4

Other ADIs, including SCCIs

8

10.0

General insurers

13

1

93.4

Life insurers

3

2

210.4

Friendly societies

2

3

6.2

595.0

Superannuation funds

5,

097

4


And collecting data from a range of non regulated institutions

… and collecting data from a range of non-regulated institutions

  • Discretionary mutual funds

  • Medical defence organisations

  • Insurance intermediaries

  • Registered financial corporations

  • Wholesale funders


Apra and xbrl renewed interest after seven years dr steve davies

APRA has become a national financial sector statistics agency

Our vision is of a prudentially well-managed, stable, efficient and competitive finance sector brought about through well-informed decision making.

Our mission is to provide essential information and analysis on Australia’s financial sector that is deservedly trusted and used by APRA, other regulators, policymakers, researchers, industry and the public.


Apra and xbrl renewed interest after seven years dr steve davies

… primarily supporting supervision

  • We provide supervisors with:

    • Timely access to accurate returns from entities

    • Time-series and peer-group reports for analysis

    • The capability to create own reports

    • Information on compliance of entities

    • Responses from entities to queries


Apra and xbrl renewed interest after seven years dr steve davies

… and other key decision makers

  • We provide the RBA and ABS with daily data feeds

  • We publish statistics on each regulated industry to inform policymakers, the industry, researchers, analysts & public

  • We provide senior management of regulated entities with supervisory reports for them to track their performance

  • We provide customised statistics on request


Apra and xbrl renewed interest after seven years dr steve davies

Statistics improvement program

  • 2000-2001 Developed infrastructure

    • New legislative framework

    • New IT systems

  • 2001-nowIntroduced modern data collections and

  • kept them up to date, eg IFRS, Basel II

  • 2004-nowFocus on data quality and use of the data

  • 9


    Apra and xbrl renewed interest after seven years dr steve davies

    Our legislative framework gives us the authority

    • Financial Sector (Collection of Data) Act 2001

      • - APRA can determine reporting requirements

      • - Reporting entities must lodge on time

      • - APRA can ask questions

      • - APRA can require amendments

      • - Non-compliance is an offence

      • - APRA can impose penalties

    10


    Apra and xbrl renewed interest after seven years dr steve davies

    … and the responsibility

    • Secrecy provisions of APRA Act 1998

      • - APRA must treat data as strictly confidential

      • - APRA can pass data onto RBA and ABS

      • - APRA can pass onto others with permission

      • - APRA can determine data to be non-confidential after due consultation

    11


    Apra and xbrl renewed interest after seven years dr steve davies

    Direct to APRA (D2A) …

    • Provides secure encryption

    • Uses digital certificates for authentication and authorisation

    • Only downloads relevant forms

    • Allows import of data from host systems

    • Validates data prior to submission

    • Allows retrieval of previously submitted data


    Apra and xbrl renewed interest after seven years dr steve davies

    Data collections now contain

    • Prudential data

      • - Financial accounts

      • - Capital adequacy

      • Risk data

    • Statistical data

      • Monetary aggregates

      • National accounts

      • Market share


    Apra and xbrl renewed interest after seven years dr steve davies

    Consultation ensures useful data collections

    • Internal APRA consultation

      • - for relevance to supervision

    • Tripartite Data Committee

      • - to integrate requirements of RBA and ABS

    • Consultation with industry

      • - to ensure data are collectable in practice


    Why xbrl

    Why XBRL?

    • Needed format to import data and transfer data

    • Microsoft Excel problematic

    • XBRL emerging standard

    • Nothing to lose by adopting XBRL

      Also

    • Little effort to update the taxonomy with systems/processes

    • Little effort to reliably change data feeds

    • Institutions required less support from APRA


    Outcome

    Outcome

    • All but two institutions submit electronically using D2A

    • Over 95% lodge on time and remainder within days

    • A lot of effort ensures data quality

    • Many banks use Excel to produce XBRL for D2A, although bulk lodgers are the main beneficiaries

    • XBRL taxonomy requires little maintenance within APRA and RBA/ABS


    Rethinking regulation review

    Rethinking regulation review

    • In 2006, the Government review into regulatory burden made recommendations to:

      • develop a business reporting standard

      • eliminate overlaps in information provided to regulators

      • establish an integrated data collection portal

    • Standard Business Reporting was born


    Standard business reporting

    Standard Business Reporting

    Over $200m multi-agency programme to:

    • harmonise financial reporting from business-to-government into a single national taxonomy

    • provide core IT services (routing, not sharing data)

    • provide single authentication credential

      Primarily aimed at small/medium businesses through software vendors and intermediaries

      Expected $800m per year saving to the economy


    Future for apra data collection under sbr

    Future for APRA data collection under SBR

    • D2A stays

    • Need to upgrade D2A to XBRL version 2.1

    • Harmonise APRA’s 40,000 items into SBR taxonomy

    • Replace authentication in D2A with SBR authentication

    • Stay harmonised


    Sbr au taxonomy harmonisation

    SBR AU taxonomy harmonisation

    • Over 9,000 items from around 90 forms across twelve federal and state agencies in scope. This reduced to less than 3,000 items.

    • APRA’s component reduced from 3,300 to 1,200 items.

    • Most reduction came from dimensions, contexts and within-agency harmonisation. Less from across-agency harmonisation.


    How much to promote xbrl

    How much to promote XBRL?

    Potential benefits for institutions:

    • Opportunity for financial institutions to use SBR for customer data

    • Taxonomy discipline will reduce unnecessary duplication in reporting – use it or lose it

    • Lower costs in aggregation/common software

    • Guarantee?

    • Competitors data available in XBRL feed?

      Help? Case studies?


    Summary

    Summary

    • APRA is integrated prudential regulator and national financial sector statistics agency

    • Implemented integrated suite of systems, legislation & reporting requirements

    • Used XBRL because no downside and low maintenance

    • All institutions voluntarily use D2A, some use XBRL

    • Red tape review posed risks and opportunities

    • APRA now harmonising with SBR

    • How should best promote uptake by financial institutions?


    Apra and xbrl renewed interest after seven years dr steve davies

    Our IT infrastructure gives us the platform

    This white area represents the recommended maximum area for graphics (tables, graphs, diagrams, photos)


    Example forms in d2a

    Example forms in D2A

    Recommended maximum area for graphics (tables, graphs, diagrams, photos)


    Example daily feed to rba in xbrl

    Example: daily feed to RBA in XBRL


  • Login