governance

Shock Absorber or Shock Amplifier? Spotting Good Governance in Fair Times and in “Covidian” Systemic Stress…

Shock Absorber or Shock Amplifier? Spotting Good Governance in Fair Times and in “Covidian” Systemic Stress…

A Guide to the fundamentals of sound Board governance

Non-Financial Risks & the Role of Internal Audit

Banks sometimes under-estimate the importance of non-financial risks until they emerge as the serious hazards that they represent. Internal audit with adequate distance from management and a productive relationship with the Board may be vital.

"...Internal auditors should have sufficient seniority to be able to challenge senior executives inside the big banks, according to a new practice guide circulated to financial sector regulators last week by the Institute of Internal Auditors Australia.

The institute wants to bolster the power and independence of internal audit teams and improve the quality of risk-related information being reported to bank boards...

...the bank's new chairman, John McFarlane said: ""We need to have more effective management of non-financial risks, as well as a strong risk culture across the organisation in the first, second and third lines of management, as well as strong board oversight."..."