The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price is in focus today after the bank received a $50 million operational risk capital charge from APRA and revealed it is subject to an AUSTRAC enforcement investigation into AML/CTF compliance.
What did Bendigo and Adelaide Bank report?
- Received a $50 million operational risk capital charge from APRA effective 1 January 2026
- The capital charge is expected to lower the Level 2 Common Equity Tier 1 (CET1) ratio by about 17 basis points
- CET1 ratio was 11.19% as at 30 November 2025, still above the board’s target
- AUSTRAC has begun an enforcement investigation relating to serious potential contraventions of AML/CTF laws
- The bank continues to uplift its approach to non-financial risk management
What else do investors need to know?
APRA’s decision means Bendigo and Adelaide Bank must hold extra capital against operational risk, but its CET1 ratio remains above both board targets and regulatory minimums for ‘unquestionably strong’ banks.
On the regulatory front, AUSTRAC has not yet decided whether it will take enforcement action following its investigation, leaving some future uncertainty for shareholders. The bank has committed to ongoing engagement with the regulator and ramping up risk management efforts.
Cost estimates for potential remediation or additional compliance are not yet available, with the bank saying further updates will be provided when they are determined.
What did Bendigo and Adelaide Bank management say?
Bendigo Bank CEO and Managing Director Richard Fennell said:
Bendigo Bank has taken a number of steps to improve its risk capability and strengthen its risk culture over the last 12 months however I recognise the need to intensify our focus and our efforts.
What’s next for Bendigo and Adelaide Bank?
The board and executive team are prioritising a broader uplift in non-financial risk maturity, particularly in response to regulators’ feedback and evolving expectations around compliance. The bank says it will provide investors with cost estimates and more information on remediation plans as details are finalised.
In the near term, the bank is focused on constructive engagement with AUSTRAC, strengthening frameworks, and maintaining capital strength. Investors will be watching for more guidance as further regulatory outcomes emerge.
Bendigo and Adelaide Bank share price snapshot
Over the past 12 months, Bendigo and Adelaide Bank shares have declined 24%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 3% over the same period.
The post Bendigo and Adelaide Bank hit with APRA capital charge, faces AUSTRAC probe appeared first on The Motley Fool Australia.
Should you invest $1,000 in Bendigo and Adelaide Bank Limited right now?
Before you buy Bendigo and Adelaide Bank Limited shares, consider this:
Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Bendigo and Adelaide Bank Limited wasn’t one of them.
The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
And right now, Scott thinks there are 5 stocks that may be better buys…
* Returns as of 18 November 2025
.custom-cta-button p {
margin-bottom: 0 !important;
}
More reading
- Paladin Energy announces US$110M debt restructure to boost liquidity
- Woodside Energy confirms CEO change as Meg O’Neill departs
- Perpetual extends exclusivity in Wealth Management sale talks
- Netwealth Group announces $101 million compensation after First Guardian collapse
- 2 ASX 200 shares that could be top buys for growth
Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Bendigo And Adelaide Bank. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.
Leave a Reply