Why is the outgoing ASIC Chair calling for an overhaul of Australian corporate regulations?

Outgoing Australian Securities and Investments Commission (ASIC) Chair Joe Longo warns that Australia's financial framework has become "almost impenetrable" due to decades of regulatory layering. This excessive red tape drives up compliance costs and stifles productivity for startups.

How poorly is the Australian IPO market performing right now?

The Australian initial public offering (IPO) market is experiencing a severe prolonged drought, recording just $11 million in listings during the first quarter of 2026. While this is a minor improvement from the historic zero-listing nadir of early 2025, it remains drastically below the Q1 2021 peak of $542.2 million.

What specific piece of legislation is being blamed for freezing ASX listings?

The primary target of criticism is Australia's Corporations Act, which is administered by ASIC and has ballooned to over 3,300 pages. Investment bankers, lawyers, and the outgoing regulatory chief all argue that the sheer volume and complexity of this Act create an overly burdensome environment.

What has ASIC already done to try and fix the slow listing process on the ASX?

Under Joe Longo's leadership, ASIC attempted to revive capital markets by tackling internal administrative bottlenecks. The regulator successfully cut one week off the typical 20-week company listing process to speed up debuts.

What changes are being proposed to make listing on the ASX easier for startups?

ASIC has formally urged both the Australian federal government and the ASX to consider easing public company listing requirements. Specifically, the regulator is pushing for lighter disclosure rules for incoming companies.

How does the current ASX IPO market compare to its recent peak?

The current market is structurally depressed compared to its post-pandemic highs. The $11 million raised in Q1 2026 is a fraction of the $542.2 million raised during the peak of Q1 2021.

Image for illustrative purposes only. Not a real photo.

Slash red tape to revive IPOs, says outgoing ASIC chief

Written by Brie CarterPublished May. 27 2026Last Updated May. 27 2026

Australia must urgently overhaul its dense corporate regulations to revive a stagnant initial public offering pipeline and stimulate capital flows, according to outgoing corporate watchdog chief Joe Longo.

Speaking ahead of the conclusion of his five-year term as Chair of the Australian Securities and Investments Commission on May 29, Longo warned that decades of well-intentioned legislative layering have left the country’s financial framework "almost impenetrable".

He noted that while ASIC has worked to streamline administrative processes—successfully shaving a week off the standard 20-week listing timeline—true progress is being choked by red tape that deters startups and drives up compliance costs.

The critique comes amidst a prolonged drought in Australia’s capital markets. According to recent LSEG data, the country recorded just $11 million in IPOs during the first quarter of the year.

While a marginal improvement on the historic zero-listing nadir of early 2025, the figure sits in stark contrast to the $542.2 million raised during the peak of 2021, marking one of the quietest periods for the Australian Securities Exchange since the 2008 global financial crisis.

With the Corporations Act now spanning over 3,300 pages, financial institutions and legal experts have increasingly echoed Longo’s frustrations, arguing the burden stifles productivity and deters foreign investment.

ASIC has urged the federal government and the ASX to consider easing disclosure requirements to spark new share sales.

Longo will be succeeded by current ASIC Deputy Chair Sarah Court.