Governance and Structure

The AOFM is a Non-Corporate Commonwealth Entity within the Treasury portfolio. It is directly accountable to the Treasurer and the Secretary to The Treasury.

The AOFM issues debt under the Commonwealth Inscribed Stock Act 1911 and the Loans Securities Act 1919, and makes investments under the Public Governance, Performance and Accountability Act 2013. These Acts confer legal authority on the Treasurer, who can delegate issuance and investment powers through a Direction. Directions authorise AOFM officials to undertake debt issuance and investments operations consistent with Government policy and in accordance with official fiscal forecasts, and can be found on

The Chief Executive of the AOFM is appointed by the Secretary to the Treasury and is the entity’s accountable authority under the Public Governance, Performance and Accountability Act 2013. The Secretary to the Treasury delegates powers under the Public Service Act 1999 to the Chief Executive of the AOFM.

Organisational structure

The AOFM is structured into four broad functions consistent with financial industry practice. Activities in portfolio strategy, global market research, transaction preparation and execution, and investor engagement, together form the ‘front office’ (Funding, Markets and Strategy).

Business Operations comprise transaction settlements and financial reporting, and are typically viewed as the ‘back office’.

A ‘middle office’ (Enterprise Assurance and Performance) comprises enterprise risk management, assurance (including audit), portfolio monitoring and operating and recording systems.

Corporate Development comprises governance, corporate-related functions and support to the Chief Executive. Advice on workforce planning and the broader APS employment framework are provided directly to the Chief Executive by HR Development.

Funding, Markets and Strategy

The ‘front office’ is structured as:

(1) Funding and Liquidity, which is responsible for buy-backs, tenders and syndications. This group also manages the Australian Government’s day-to-day cash requirements;

(2) Portfolio Strategy and Research, which responsible for the debt management strategy and financial risk management policies. It conducts in-depth research and modelling to support these aims;

(3) Investor Relations, which liaises with investors and registered bidders (intermediaries) to explain detail about planned issuance and to gather investor feedback and views with respect to AGS and related substitute markets; and

(4) Global Markets and Business Strategy, which oversights the AOFM’s role in the Australian Business Securitization Fund, monitors broader global trends affecting fixed income markets, and provides advice to Treasury and other agencies on matters related to financial risk and sovereign balance sheet management.

Business Operations

The Finance and Settlements group is responsible for the AOFM’s statutory financial reporting and Budget reporting; settling transactions undertaken with financial market counterparties; and meeting AOFM’s taxation obligations. This group is also responsible for managing the retail investor debt registry provider and services.

Enterprise Assurance and Performance

The ‘middle office’ is structured as:

(1) Enterprise Risk and Assurance, which maintains complementary frameworks for enterprise risk and assurance (including audit and compliance) and coordinates compliance with the AOFM’s obligations under relevant legal, regulatory and delegated authorisations; and

(2) Reporting and IT, which provides reporting to inform performance of the portfolios of debt and assets managed by the AOFM and engages with Treasury IT to provide a secure, functional and robust IT environment to support AOFM business operations.

Corporate and HR Development

The Corporate Development group provides corporate services and operational support to the Chief Executive and AOFM Executive Group. Operational support includes accounts receivable, accounts payable, human resource administration (payroll, recruitment and cessations) and general office administration.

A senior advisor provides advice to the Chief Executive on issues regarding the AOFM’s staff development objectives and APS specific issues.

Last updated: 24 April 2019