Adequacy of resourcesAdequacy of resources

Adequacy of resources

36. An RSE licensee must maintain financial resources at a level adequate to ensure its ongoing solvency and adequate liquidity to support its business operations. This requirement is in addition to the operational risk financial requirement required in SPS 114.

37. An RSE licensee must maintain human resources at a level adequate for its business operations, where ‘human resources’ includes, but is not limited to, adequate levels of personnel with the necessary knowledge, skills and expertise to enable the RSE licensee to effectively carry out its operations and support its risk management framework, including its business continuity and disaster recovery plans.[16]

38. An RSE licensee must maintain technical resources at a level adequate for its business operations, where ‘technical resources’ includes, but is not limited to:

(a) technical systems, including adequate hardware, data quality and software;

(b) systems and resources to ensure protection, security and privacy of confidential, personal and sensitive material;

(c) resources to handle transaction processing and other operations;

(d) technical resources to handle any significant changes or increases in size, business size or complexity that are planned, forecast or likely to occur;

(e) a business continuity plan; and

(f) records maintenance systems.

39. An RSE licensee must be able to demonstrate to APRA that it has a process to determine the levels of resources that are adequate based on an assessment of the business plan, risk management framework and the size, business mix and complexity of the RSE licensee’s business operations.

40. An RSE licensee may hold the resources required in paragraphs 35 to 37 inclusive itself or have the resources available under an enforceable agreement.