Corporate Law Minister Nick Sherry has announced a six-month review into the regulation of credit ratings agencies, which have faced increased scrutiny since last year's subprime collapse involving A-rated securities.

Senator Sherry says updated regulation may follow due to "the role agencies may have played in some aspects of recent financial market problems, including the US subprime mortgage situation".

Ratings agencies in Australia aren't licensed and face little regulation.

The review will also examine the of role research houses in providing advice to investors involved in collapses such as Westpoint.

The Federal Treasury and ASIC will conduct the review, which will also involve APRA and the Investment and Financial Services Association. The review is set to be completed by December.