Oversight of an issuer’s risk management and internal controls is the responsibility of the whole Board. INEDs, as independent members of the Board, play an important role in ensuring that risks are properly managed and relevant internal controls maintained and periodically reviewed and updated.
In order to fulfil their supervisory role in risk management and internal controls, INEDs have to obtain sufficient information from the Board and the management to properly assess the effectiveness of the issuer’s risk management and internal control systems.
To learn more on effective risk management and internal controls, please visit our topic page.