Monday, April 17, 2017

Corporate Governance And Risk Management

    Best  practices:

    • Independent board member
    • Take care of stakeholder and debt holder
    • CEO not the head and introduce CRO
    • Agency risk
    • Focus on economic performance instead of accounting performance
    • Compensation based on risk adjusted return
Board of directors oversee:
  • Policies, reports, strategy, control , audit, practics
Risk appetite -> tolerance/willingness a firm can take risk.

Transmitted by risk director and audit committee

Audit main role: make sure financial statement and regulatory report correct. Also oversee risk and so on

No comments:

Post a Comment