Date posted: 4/09/2019 3 min read

Almost nine out of ten Aussie investors confident in audit quality

87% of Australian retail investors are confident in the quality of audited financial information, according to a new survey from Chartered Accountants Australia and New Zealand.

Over eight in ten (86%) of the more than 1,000 everyday mum and dad investors surveyed are also confident in publicly listed Australian companies, with independent auditors seen as having the most effective role in advancing investor protection. 

CA ANZ Reporting & Assurance Leader Amir Ghandar said these results recognise the long-standing, strong contribution auditors provide to safeguard the Australian market. 

“It is company reporting season, so right now thousands of auditors are out there quietly going about the painstaking work needed for reliable information in our capital markets,” said Ghandar.

“These results show the enormous role auditors play in building confidence across our economy.

“The certainty investors have in audited financial statements stems from the reputation risk accompanying any wrongdoing, the belief that auditing is well regulated and that auditors are providing honest and independent third-party scrutiny.

“With a new premium being placed on trusted information by the public, auditors also have to shoulder a big responsibility to preserve this trust.

“As a profession we must strike a balance between helping people understand what we do and bust the myths, while also listening to concerns on where auditing needs to evolve to better meet their needs.

“We welcome the parliamentary inquiry as a forum to have a public conversation to ensure that practice and regulation, as well as the risks and issues audits cover, are keeping pace with expectations of Australians.” 

Other survey findings:

  • Global political unrest is seen to be the top threat to the Australian economy concerning Australian investors, followed by the threat of an economic bubble
  • Just over 8 in 10 investors (84%) are confident in Australian capital markets including the ASX
  • 3 in 4 investors have confidence in capital markets outside of Australia
  • Younger investors tend to be more confident overall including in the Australian capital markets, publicly listed companies and capital markets overseas.

2019 Australian Investor Confidence Survey

Read the survey to find out how confident Australian retail investors are.

Find out more