Accounting Business Reporting for Decision Making

12 Accounting: Business Reporting for Decision Making

requirements of a disclosing entity; exemptions by ASIC; a small business guide; the basic features

of a company; registering a company; company powers; annual financial reporting to members and

the appointment of an auditor; and specific offences, including false or misleading statements, and

obstructing or hindering ASIC.

Australian Securities Exchange (ASX)

Stock exchanges around the world assist in regulating companies and ensuring that orderly and fair

markets are maintained. Some stock exchanges worldwide include the New Zealand Exchange (www

.nzx.com), the New York Stock Exchange (www.nyse.com), the London Stock Exchange (www.london-

stockexchange.com), the Tokyo Stock Exchange (www.tse.co.jp) and the Australian Securities Exchange

(www.asx.com.au).

The Australian Securities Exchange (ASX) was formed in 1987 as the Australian Stock Exchange

and provides in-depth market data and information to a variety of users. It operates as the primary

Australian exchange for shares, derivatives and fixed-interest securities such as debentures. The New

Zealand Exchange (NZX) was formed in 1974 through an amalgamation of a number of regional stock

exchanges. The NZX is the only registered securities exchange in New Zealand and is also an authorised

futures exchange. As of November 2014, NZX had 258 listed securities with a combined market capital-

isation of NZ$94.1 billion (NZX Limited, 2014).

Figure 1.1 shows the ASX home page on the internet.

The ASX contributes to company regulation through its Market and Listing Rules. The Market Rules

regulate how trading takes place on the ASX by overseeing the operations and behaviour of participating

entities. The Listing Rules ‘watch’ over companies listed on the ASX, and help to ensure that com-

panies are providing adequate disclosures to various stakeholders and behaving appropriately. These

rules are in addition to the regulations of the Corporations Act. The Listing Rules include rules on con-

tinuous disclosure, changes in capital and new issues, restricted securities and trading halts, suspension

and removal.

FIGU R E 1.1 The ASX home page

Source: Australian Securities Exchange 2015, http://www.asx.com.au.