• Targeting the board over climate risk?  Climate activist group Majority Action has targeted the JPMorgan Chase board as a means of pushing for a change in the bank's climate strategy

• In Brief | The Church of England will reportedly bring forward its net zero emissions target for its operations by 15 years: C of E has reportedly committed to a 2030 target for net zero emissions, though as yet details as to how the goal will be met and when and how much carbon the organisation currently emits is unclear 
• In Brief | Climate rhetoric is out of step with voting behaviour?  Research by the Age/SMH has found that despite their vocal stance on climate issues, the level of support from Australia's four largest superannuation funds for shareholder requisitioned climate proposals has fallen, and their investment in fossil fuel companies is unchanged.   The research looked at 135 climate-related shareholder proposals voted on by 50 of the country's largest super funds and found that overall, the number of proposals approved had fallen by 4.2% since last year

• Top Story | NSW Supreme Court rules against US based 'activist short seller' Bonitas 

• In Brief | The Guardian reports that a joint submission by a group of 70 UK-based church investors has raised concerns about the US SEC's proposed plans to 'modernise' shareholder rules.  Reportedly, the group's chief concern is that the proposed changes will curtail the ability of smaller shareholders to push for stronger governance and/or to challenge US companies over issues including excessive executive pay and climate issues

• Getting closer to mandatory TCFD disclosure?  The UK government has tabled climate change-related amendments to draft pension fund legislation
• In Brief | ESMA Chair makes the case for more regulation of ESG rating agencies including more rigorous and standardised ESG information disclosure requirements and specific measures to prevent the risk of greenwashing: 'Personally, I believe that, where ESG ratings are used for investment purposes, ESG rating agencies should be regulated and supervised appropriately by public sector authorities'

• APRA and ASIC have written to RSEs welcoming the proposed expansion of ASIC's role in superannuation and outlining how joint regulatory oversight would operate if the proposed changes were to go ahead
• Expect a busy second half of the year? ASIC Chair James Shipton has reportedly said industry should expect ASIC's enforcement efforts to ramp up H2 2020

• Consumer Data Right - New year, new rules (and a revised timetable)
• Proposed FAR regime: Consumer groups have called for the proposed Financial Accountability Regime to go further
• Proposed FAR regime: ASFA submission flags a number of concerns including that it largely duplicates existing obligations
• ASIC review of trustees' PYSP communications released: ASIC expects future communications to be 'member centric' and backed by 'member centric' processes
• Facilitating super fund mergers?  Bill introduced to make tax relief for merging superannuation funds permanent
• Progress Update | The Reuniting more super Bill has progressed to second reading stage in the senate
• Progress Update | Choice of superannuation fund Bill has progressed to second reading stage in the senate
• Mandatory Comprehensive Credit Reporting: Draft regulations released for consultation
• Recap: Ministers provide a recap of the Bills passed during the first two sitting weeks for the year
• APRA has released its quarterly PHI statistics for the December 2019 quarter, consumer group CHOICE has issued a statement in response, arguing the figures underscore the need for a review of the sector
• In Brief | The Australian reports that ASIC is in the process of determining how it will expand its close and continuous monitoring (CCM) program to the superannuation sector.  Reportedly, the regulator's initial focus will be trustee duties and how well trustees discharge their obligation to act in the best interests of members
• In Brief | Treasury Laws Amendment (Recovering Unpaid Superannuation) Bill 2019 has progressed to second reading stage in the senate.  The Opposition is pushing for amendments to explicitly ensure employee salary sacrifice arrangements do not 'satisfy the employer's obligation to make contributions' and to ensure superannuation guarantee requirements in awards/enterprise agreements are honoured  
• In Brief | Stronger powers for ASIC: The Financial Sector Reform (Hayne Royal Commission Response - Stronger Regulators (2019 Measures) Bill 2019 (Act No 3 of 2020) which 'harmonises' ASIC’s search warrant powers; improves ASIC’s ability to access certain telecommunications information; strengthen ASIC’s licencing powers; and extends ASIC’s banning powers to ban individuals from managing financial services businesses received Royal Assent on 17 February
• In Brief | The Financial Sector Reform (Hayne Royal Commission Response - Protecting Consumers (2019 Measures) Bill 2019 (Act No 2 of 2020) which extends the existing protections of the unfair contract terms regime to insurance contracts from 5 April 2021, extends consumer protections under the ASIC Act to funeral expense policies, introduces a best interests duty for mortgage brokers and bans certain conflicted remuneration from 1 July 2020 received Royal Assent on 17 February

• Deregulatory 'overkill'? The White House has reportedly proposed that the PCAOB should be consolidated into the SEC from 2022 
• IFIAR annual survey released: IFIAR calls on audit firms to continue their efforts to raise audit quality standards
• In Brief | Potential conflict concerns?  The AFR reports that former PwC partners on listed boards are under increasing pressure to disclose to shareholders details about retirement payments paid by their former employer.  Though there is no legal requirement to disclose the information,  the AFR reports that one (unnamed) former PwC partner who now chairs an audit committee at an ASX-listed company audited by PwC, plans to begin voluntarily disclosing the payments  
• In Brief | ASIC has announced that it has taken action against a number of SMSF auditors for alleged breaches of the auditor independence rules and auditing standards, including failing to comply with Continuing Professional Development (CPD) requirements and otherwise not being a fit and proper person due to bankruptcy
• In Brief | The Parliamentary Inquiry into the Regulation of auditing in Australia has been extended by six months to 1 September 2020

Climate Risk 

• BCA energy and climate change policy position: Scoping Paper released
• The FT reports that BP has committed to cutting GHG emissions to net zero by 2050 or sooner (including cutting Scope 3 emissions)
• In Brief | A 'just' transition away from coal: Anglo American CEO Mark Cutifani has reportedly said that the company will announce details of the future of its coal operations by the end of 2020, noting that finding thermal coal buyers will be more difficult now, than it may have been in the past.  Mr Cutifani also reportedly emphasised the importance the company places on a 'just transition'.   'We can't just walk away from local communities; we can't walk away from employees; we can't walk away from stakeholders. You have to make sure they're engaged and part of the process' he is quoted as saying 
• In Brief | Broad consensus on the value of ESG programs? A McKinsey survey has identified that executives and investment professionals largely agree that environmental, social, and governance programs create short and long-term value, though their perceptions of value have changed over the past decade 
• In Brief | Full TCFD compliance next year: QBE's Annual Report identifies climate change as a material risk to the business as well as a driver of significant opportunities, and flags that the next report will be fully TCFD compliant 

Cybersecurity, Technology and Privacy

• ACCC to inquire into digital platform services and separately into digital advertising services
• In Brief | Recent ransomware attack should put other companies on alert: The AFR reports that the recent cyber-attack on Toll is continuing to disrupt the business.  The report quotes Federal Police cyber security specialist Nigel Phair, as saying that the attack should be a 'massive wakeup call' for other companies, which have been too complacent on the threat of cyber-attacks

Other Developments

• Addressing wage underpayments: Attorney General Christian Porter has flagged plans to introduce legislation to criminalise the 'most serious forms' of worker exploitation/wage underpayments, and announced the release of a discussion paper seeking feedback on possible reforms 
• Former director facing criminal charges for failure to meet disclosure requirements

• Parliament passes legislation to combat illegal phoenixing and prevent improper director resignation
• Progress Update | Legislative package to consolidate and modernise business registers and establish the DIN regime