Continuous disclosure
Continuous disclosure is the ongoing obligation of an ASX-listed entity to disclose price-sensitive information to the market as soon as it becomes aware of it, under ASX Listing Rule 3.1 and section 674 of the Corporations Act.
Definition
Continuous disclosure is the ongoing obligation of an ASX-listed entity to disclose price-sensitive information to the market as soon as it becomes aware of it, under ASX Listing Rule 3.1 and section 674 of the Corporations Act.
In detail
Continuous disclosure is the umbrella term for the obligation on every ASX-listed entity to keep the market continuously informed of material information. It has two anchors: ASX Listing Rule 3.1 (a contractual obligation owed to ASX) and section 674 of the Corporations Act 2001 (a statutory obligation enforceable by ASIC).
In practice, the obligation is managed by a disclosure committee — typically the chair, CEO, CFO, company secretary, and a designated independent director. The committee is the body that makes the materiality call when an event arrives.
A continuous-disclosure policy formalises how the committee meets, how decisions are recorded, when external advisers are engaged, and how holding statements are pre-positioned for likely events.
Listed entities that fail to meet continuous-disclosure obligations may receive ASX queries (aware letters and price-and-volume queries), face ASIC enforcement, or be exposed to shareholder class actions — particularly under the civil liability provisions in section 674A.
Connected terms and work
Start a conversation
Tell us about your company and where you want the market to be. We will take it from there.