---
title: "How to use AI for financial services compliance in Australia"
url: "https://ailawframework.com/guides/ai-afsl-compliance"
type: "how_to_guide"
site: "AI Law Framework"
practice_area: "Regulation and government"
---

# How to use AI for financial services compliance in Australia

> ASIC Report 798 records how financial services licensees were governing artificial intelligence. An inventory and a risk register are the operational reading of that report.…

Canonical page: https://ailawframework.com/guides/ai-afsl-compliance

Site index for agents: https://ailawframework.com/llms.txt

## Check this before you rely on it

REP 798 is a report of findings, not a how-to for a particular product. Read the report. Map it onto the licensee’s existing risk framework.

## Steps

1. **Read the governance findings in REP 798.** ASIC Report 798 sets out what the Commission found about governance of artificial intelligence by financial services licensees. Use it to test the licensee’s arrangements: who is accountable, how a tool is approved, and how harm to clients is watched. Do not treat a summary on this page as the finding. Open the report.
2. **Keep an inventory and a risk register.** List each tool, the function it performs, the data it sees, the person accountable, and the harm if it is wrong. Review the register when a tool or a client use changes. The choosing-a-tool guide is the checklist for adding a row. A law firm’s own policy does not satisfy an AFSL obligation by itself.

## Questions

**Is it allowed to use AI for financial services compliance in Australia?**

Licensees that use it need governance that can meet the findings ASIC published in REP 798. Read the report against the obligations that already apply to the licence. This page does not add a new licence condition.

**What tools are used for financial services compliance?**

This page does not approve a compliance product. The work is the inventory, the register and the person who owns each row.

**Is a law-firm AI policy enough for an AFSL?**

No. The policy can be an input. The licensee’s obligations are wider than the firm’s internal tool rules.

## Sources

- [ASIC REP 798](https://asic.gov.au/regulatory-resources/find-a-document/reports/rep-798-beware-the-gap-governance-arrangements-in-the-face-of-ai-innovation/)

## Related

- [Financial services tasks](https://ailawframework.com/practice/financial-services-regulation.md)
- [Choosing a legal AI tool](https://ailawframework.com/guides/choose-legal-ai-tool-australia.md)
- [Law firm AI policy](https://ailawframework.com/guides/law-firm-ai-policy-australia.md)