Effective Boards in Banks

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Ferdinand Tuinstra, Senior Banking Advisor, IFC, Netherlands

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Effective Boards in Banks

  1. 1. CIS  Bankers  Conference    Effec&ve  Boards  in  banks    Ferdinand  W.  Tuinstra,  Sr  Banking  Advisor  IFC  Europe  &  Central  Asia  –  Access  to  Finance          Kyiv,  June  6,    2013  
  2. 2. ‹#›   IFC  Corporate  Governance  Program  PresentaBon  Purpose  and  Outline    Purpose:  Making  boards  more  effecBve  and  dynamic  Agenda    §  Introduc&on  to  Boards  –  Role  of  Boards  §  Understanding  the  Board  composi&on  &  Board  qualifica&on  criteria  §  Board  commiKees  &  composi&on  §  Working  procedures  and  other  issues    §  Board  performance  assessment    
  3. 3. ‹#›   IFC  Corporate  Governance  Program  Intro  &  The  Board’s  Role   1  SecBon  
  4. 4. ‹#›   IFC  Corporate  Governance  Program  “Best  in  class”  boards    Truly  exemplary  boards  are  well-­‐balanced  teams  that  harness  the  diverse  experiences,  skills  and  intellects  of  their  directors  to  pursue  the  strategic  objec&ves  of  the  companies  they  serve.    The  best-­‐in-­‐class  board  fosters  a  culture  of  rigorous,  relentless  examina&on…presses  for  con&nuous  improvement,  seUng  a  tone  for  senior  management  that  reverberates  throughout  the  organiza&on  Source:  Heidrick  &  Struggles  
  5. 5. ‹#›   IFC  Corporate  Governance  Program  Boards  of  Family  Owned  Banks  Key  is  PuTng  ‘Business  First’  Sample Issues Family First Cos.FamilyEmploymentOpen-Door Policy for all familymembers, regardless of qualificationsCompensation Equal pay for all, regardless of theirexperience or performanceLeadership Leadership based on Seniority inFamily, regardless of merit orqualificationsResourceAllocationBusiness Resources used for personalneeds (e.g., loans, grants)Decision-Making Unilateral & Concentrated with SeniorFamily Member (e.g., Chairman/CEO)Business First Cos.Qualification-Based Employment,as for any other new hireMerit-Based pay, based onexperience, performanceLeadership granted to the rightperson (family or non-family),based on merit and qualificationsBusiness resources only used forbusiness purposes – separatefamily reserve fund utilized for familyneeds.Mulit-lateral, based on DefinedGovernance Structure (e.g.,Executive Committee)
  6. 6. ‹#›   IFC  Corporate  Governance  Program  What  Should  be  Considered?  Board  EffecBveness  Board  EffecBveness  Board  Structure  &  ComposiBon  Board  FuncBons  &  Behaviors  Board  Roles  &  Director  DuBes  ü  Board  discussions  are  candid  with  full  veTng  of  issues.  ü  Board  challenges  management  effecBvely  on  issues.  ü  Board  working  procedures  are  effecBve  (e.g.,  meeBng  proceedings,  frequency,  formality)  ü  Board  conducts  rouBne  self-­‐evaluaBons  of  performance  ü  Board  offers  rouBne  training  to  directors  ü  Proper  commiees  are  in  place  (e.g.,  audit,  remuneraBon,  nominaBon)  ü  Board  size  is  opBmal  ü  Boards  to  include  appropriate  mix  of  execuBve,  non-­‐execuBve  and  independent  directors    ü  Board  possesses  the  opBmal  mix  skills  ü  Board’s  role  is  clearly  defined  vis-­‐à-­‐vis  management    ü  Board  understands  its  oversight  duBes    (esp.  Risk  &  Control)  and  has  appropriate  processes  in  place  ü  Directors  understand  duBes  and  responsibiliBes  to  the  company  and  shareholders  
  7. 7. ‹#›   IFC  Corporate  Governance  Program  Board  and  Corporate  Governance  Summary  of  regulatory  recommendaBons  »  Majority  independent  directors  recommended  »  ‘Fit  and  proper’  test  »  Diversity  of  directors  »  Board  and  management  succession  plan  defined  Board  composiBon  »  Disclosure  of  structure  of  total  compensa&on  »  Equity  compensa&on  for  interest  alignment  »  ‘Risk-­‐linked  pay’  »  Long-­‐term  perspec&ve  of  execu&ve  remunera&on  ExecuBve  and  Board  compensaBon  »  Annual  evalua&on  against  CG  principles  »  Disclosure  of  performance  metrics  to  shareholders  »  Training  the  Non-­‐Execu&ve  Directors  (NEDs)  Board  performance  assessment  »  Separate  Chair/CEO  Posi&on  (or  Lead  Director)  »  Independent  execu&ve  sessions  (without  CEO)  »  Independent  Board  CommiKees  Board  independence  »  Role  of  the  NEDs  –  Ensure  independence  of  the  Board  func&oning  »  Delega&on  of  authority  –  Board  commiKees  and  CRO  »  Time  commitment  and  minimum  aKendance  Board  roles  and  accountability  
  8. 8. ‹#›   IFC  Corporate  Governance  Program  ü  Roles:    No  clear  division  between  Management  versus  Board  ü  DuBes:    Directors  not  clear  on  their  responsibili&es;  Duty  of  Care/Loyalty  ü  Structure:    Lack  of  effec&ve  func&oning  commiKees;  lack  of  clarity  of  board  vs.  commiKee  roles  ü  ComposiBon:    Oden  composed  of  insiders,  hand-­‐picked  by  major  SHs  or  other  board  members;  oden  need  crucial  skillsets  in  Risk,  Finance,  Banking.  ü  FuncBon:    No  annual  plan  to  help  ensure  balance  of  topics;  narrow  focus  on  financials  ü  Other:    Board  terms  ill-­‐defined  –  open-­‐ended;    board  evalua&ons  not  common;  work  procedures  lack  formality.  What  Common  Challenges  Have  we  Observed?  Board  EffecBveness  
  9. 9. ‹#›   IFC  Corporate  Governance  Program  EvoluBon  of  the  role  of  the  Board    §  The  level  of  involvement  of  the  Board  also  determines  the  effec&veness  of  the  Board  Ceremonial  Board   Liberated  Board   Progressive  Board  Group  dynamics  CEO  is  all  powerful,  directors  are  passive  Limited   par&cipa&on   in  bank’s  strategy  Limited  accountability  Fragmented   dialogue   in   the  Boardroom   –   Absence   of  consensus,   word   of   the   CEO  prevails  Absence  of  self-­‐evalua&on  U n d e r s t a n d s   r o l e   o f  independent  directors  Guides  &  evaluates  the  CEO  Self-­‐evalua&on  a  core  part  of  the  Board  func&oning  InformaBon  architecture  Management  &ghtly  controls  informa&on  flow    Management  makes  relevant  informa&on   available   to  Board,  but  the  informa&on  is  not  focused,  &mely  and  clear  Lack   of   Board   understanding  of  the  bank’s  business  model  Focused,   &mely,   accurate  and   clear   informa&on  provided  to  the  Board  Directors   possess   right   skills  for   the   job   and   understand  the  bank’s  business  very  well    Focus  on  important  areas  Compliance  role  only  Usually   the   Board   passively  cer&fies   the   management  decisions  Board   desires   to   make   a  c o n t r i b u & o n ,   b u t   i s  overwhelmed   by   substan&ve  issues.  Driven  by  compliance  and  rou&ne  opera&ng  issues  Joint   agenda   set   by   Board/C E O .   B o a r d   f o c u s   o n  an&cipatory   and   strategic  issues,  as  well  as  compliance  related  issues    Low  Involvement   High  Involvement  Adapted  from:  Ram  Charan,  “Boards  that  deliver”  
  10. 10. ‹#›   IFC  Corporate  Governance  Program  Board  is  at  Center  of  this  EnBre  Framework  General  Assembly  (Shareholders)  Board  of  Directors  Board  Commiees  Audit  Commiee   Risk  Commiee   Exec  Commiee  RemuneraBon   Other  Commiees  Bank  Infrastructure  Internal  Audit   Risk  Management  Business  and  Support  Units  ReporBng  ElecBon   Feedback  Senior  Management  Strategy  Policies  Risk  AppeBte  Performance  Advice  Concerns  External  Audit  Capital  Markets  Authority  Central  bank  RaBng  Agencies  Investment  Analysts  InternaBonal  Financial  Services  Industry  Transparency  Professionalism  Trust  Respect  Press  Customers  InsBtuBonal  Investors  External  Stakeholders  Bank  Compliance  
  11. 11. ‹#›   IFC  Corporate  Governance  Program  Role  of  the  Board    Role  of  the  Board  Policy  formulaBon  »  Crea&ng  vision  and  values  »  Developing  corporate  climate  and  culture  »  Monitoring  the  external  environment  Strategy  and  Stewardship  »  Strategic  thinking  –  SeUng  bank  direc&on  »  Director/Chairman  nomina&on  and  evalua&on  »  CEO/Execu&ve  selec&on  and  evalua&on  »  Succession  planning  Accountability  »  Accountability   to   the   bank,   regulators,  legislators  and  to  stakeholders  »  Protec&on  of  shareholder  rights  »  Adequate   transparency   and   disclosures   -­‐  Financial  and  non-­‐financial  informa&on  Oversight  and  Control  »  Internal  control  and  risk  management  »  Financial  management  and  repor&ng  »  Internal/External  audit  »  Compliance  »  Oversight  of  management  performance  Short  term                                              Long  term  Internal  Focus                                                                                                    External  Focus  
  12. 12. ‹#›   IFC  Corporate  Governance  Program  Basel  commiee  on  the  role  of  Boards    §  Basel  guidelines  on  Corporate  governance  for  Banks  have  detailed  the  importance  of  a  Board  and  the  role  of  the  Board  at  banks  Role  of  Boards  Qualified  and  skilled  Board  Members  Strategic  ObjecBves  and  Corporate  values  Clear  lines  of  Responsibility  Appropriate  Managerial  Oversight  Internal  &  External  Audit  &  Control  FuncBons  CompensaBon,  Strategy  &  Control  Governed  in  a  Transparent  Manner  Know  your  Structure  
  13. 13. ‹#›   IFC  Corporate  Governance  Program  3Draw a Clear Line Between Board and Mgmt.DutiesManagement:§  Develops/recommends strategicdirection§  Develops/recommends businessplans and budgets§  Develops effective executive boardor mgmt. team§  Carries out corporate activities toachieve corporate strategy andbusiness plansBoard:§  Approves strategic direction§  Approves business plans andbudgets§  Organizes work of the board§  Monitors and guides managerialperformanceFor exampleNose In – Hands Out!
  14. 14. ‹#›   IFC  Corporate  Governance  Program  Risk  governance  framework  IllustraBve  funcBonaries  Oversight  Escala&on  Coordina&on  Ownership  Assurance  Board    Risk  and  Audit  CommiKees  Risk  management  division    Retail  banking    Internal  Audit    Treasury     Corporate  banking    Business  units              Key  responsibili&es      Key  func&onaries  
  15. 15. ‹#›   IFC  Corporate  Governance  Program  Risk  governance  framework  IllustraBve  funcBons  »  Iden&fica&on,  assessment,  measurement,  monitoring  and  repor&ng  business  risks  »  Facilita&on  and  co-­‐ordina&on  of  risk  management  ac&vity  across  the  bank  »  Reviewing  and  challenging  risk  informa&on    »  Escala&ng  key  issues  to  the  Board  »  Ul&mate  accountability  for  the  risk  situa&on  »  Ar&cula&on  of  risk  appe&te,  communica&on  of  risk  strategy  »  Approval  and  review  of  risk  policies  Board    Risk  and  Audit  CommiKees  Risk  management  division    Retail  banking    Internal  Audit    Treasury     Corporate  banking    Business  units  »  Independent  assessment  of  the  effec&veness  of  risk  management  func&on  
  16. 16. ‹#›   IFC  Corporate  Governance  Program  3  lines  of  defense  framework  An  approach  for  risk  governance    »  “Owner”  of  the  risk  management  process    »  Iden&fies,  manages,  mi&gates  and  reports  on  different  risks  »  Provides  interpreta&on  of  regula&ons/leading  prac&ces  and  disseminates  to  BUs  »  Designs  and  deploys  the  overall  RM  framework  »  Monitors  adherence  to  framework  and  strategy  »  Develops  RM  methodologies  »  Develops  risk  policies  and  procedures  and  monitors  compliance  »  Performs  aggregated  risk  repor&ng  Risk  Management    (Design,  interpret,  monitor  &  report)  »  Provides    independent  tes&ng  &  verifica&on  of  efficacy  of  corporate  standard  and  business  line  compliance  »  Validates  the  overall  risk  framework  »  Provides  assurance  that  the    risk  management  process  is  func&oning  as  designed  and  iden&fies  improvement  opportuni&es  Internal  Audit    (Test  &  verify)  1st  line  of  defence   2nd  line  of  defence   3rd  line  of  defence  »  Sets  the  ‘Tone  from  the  top’  »  Establishes  risk  appe&te  and  strategy  »  Approves  the  RM  framework,  methodologies,  overall  policies,  and  roles  and  responsibili&es  »  Leverages  risk  informa&on  into  decision  making  process.    Accepts,  transfers  or  mi&gates  iden&fied  risks.  »  Evaluates  BU  ac&vi&es  on  a  risk  adjusted  basis  Governing  Body/  Boards    (Oversight)  BU  process  and  risk  owners  ReporBng  can  only  be  as  good  as  the  underlying  analysis  1st  and  2nd  line  need  robust  risk  profiles  
  17. 17. ‹#›   IFC  Corporate  Governance  Program  Board  of  Directors  Roles  and  responsibiliBes  »  Develops  business  strategy  »  Approves  risk  management  strategy  for  the  bank  »  Ar&culates  risk  appe&te  »  Approves  risk  appe&te  transla&on  into  tolerances  &  limits  »  Decides  the  risk  governance  structure  »  Ensures  development  of  risk  management  framework  »  Reviews  and  approves  risk  policies  and  procedures  »  Communicates  the  risk  policies  across  the  Bank  »  Appoints  an  execu&ve  responsible  for  risk  management    »  Delegates  relevant  authority  to  risk  func&onaries  »  Reviews  risk  management  effec&veness  and  compliance  »  Reviews  significant  risk  issues  highlighted  by  commiKees    »  Reports  to  stakeholders  on  risk  management  »  Approves  public  disclosures  Strategy  Risk  appeBte  Risk  governance  Risk  policies  and  procedures  DelegaBon  Performance  review  Disclosures  A  Board’s  Specific  role  in  risk  management  Summary  of  key  involvement  areas  
  18. 18. ‹#›   IFC  Corporate  Governance  Program  8Sample Authority MatrixNo. Authority AGMBoard  -­‐  GeneralAudit  CommitteeInvestment  Committee CEO ManagementA. General  Corporate  AuthoritiesA.1 Amendments  to  authorized  share  capital xA.2Deciding  on  major  acquisitions  and  divestures  of  other  entities xA.4 Public  offering  of  shares  for  BoP xA.5 Obtaining  debt  financing x  (>$) x  (<$)A.8 Share  acquisition  and  equity  participation  in  other  entities inform xA.10 Approval  of  annual  report  and  accounts x recommendA.11 Decisions  on  dividends  and  net  profit  allocations inform xA.13 Amendments  to  BoPs  Articles  of  Association  or  By-­‐Laws xA.15 Appointment  of  Board  of  Directors  Members x recommendA.16 Appointment  of  Chairman,  Deputy  Chairman xA.17 Approval  of  fees  for  Directors x recommendA.20 Appointment  and  remuneration  of  External  Auditors x recommend recommendB. Operational  AuthoritiesB.2 Approving  corporate  strategy xB.4 Revision    or  reallocation  of  annual  budget x  (>$) x  (<$) x  (<$)B.5 Approval  of  unit  specific  plans  and  budgets x xB.12 Approval  to  participate  of  new  development  projects x  (>$) x  (<$) x  (<$)B.21 Approving  Investment  Transactions x  (>$) x  (>$)B.23 Approving  HR  policies  approvals  and  frameworks xB.26 Appointment  of  other  non-­‐Senior  Management  staff x xB.27 Remuneration  of  CEO  and  Senior  Executives x xB.33 Changes  and  investments  to  IT  systems x  (>$) x  (<$) x  (<$)
  19. 19. ‹#›   IFC  Corporate  Governance  Program  Sample Director Duties: Important DirectorsUnderstand & Commit to These1.  The director shall fully understand theBoard’s roles and responsibilities asidentified in the Board Charter...2.  The Director shall fully understand thecorporate governance and ethics policiesof the company…3.  The Director shall exercise fully duty ofloyalty to the company, by NOT:- Conducting transactions in which they have apersonal interest; Disclosing confidentialinformation; Entering into contractual relationswith a competing company; Using assets andfacilities of the Company for personal benefit/gain; Using information and businessopportunities received in their official capacityfor personal gain4.  The Director shall exercise full duty of careto the company, including:- Acting honestly in the interests of the Company;Displaying maximum care and prudence thatmay be expected from a good manager in asimilar situation and under similarcircumstances; Ensuring that the Company actsin compliance with all applicable laws andregulations; Requesting sufficient informationfrom management to enable him/her to makebalanced decisions.5.  The Director shall commit adequate time to theposition…6.  The Director shall ensure maximum contribution ofhis/her knowledge, skills, expertise, abilities, andprofessional resources...7.  The Director shall fully participate in Boarddiscussions by ensuring that he/she gives fullconsideration and depth of analysis to issues…8.  The Director shall ensure objectivity of analysispromoting long-term interest of company …9.  The Director shall ensure that he/she takesindividual responsibility to stay educated andinformed …10.  The Director shall voice concern to the Chairmanor other members as appropriate, if he/she feelsthat any of the terms discussed in these TORs arenot being realized…
  20. 20. ‹#›   IFC  Corporate  Governance  Program  Understanding  Board  composiBon   2  SecBon  
  21. 21. ‹#›   IFC  Corporate  Governance  Program  1Ensure Good Mix of SkillsType: Executive - Non-Executives - IndpedendentsExperience: Industry – Geographical - MarketSubject Expert: Financial - Risk - Legal - OtherPersonal Attributes: Leaders – TacticiansDiversity: Age – Gender - CulturalView Points: Risk Adversity – Differing PerspectivesOther Value Added: Business Contacts – Reputation
  22. 22. ‹#›   IFC  Corporate  Governance  Program  Director  requirements  –  Basel  criteria    Principle  1:  Board  members  should  be  and  remain  qualified,  including  through  training,  for  their  posi&ons.  They  should  have  a  clear  understanding  of  their  role  in  corporate  governance  and  be  able  to  exercise  sound  and  objecBve  judgment  about  the  affairs  of  the  bank    BIS,  Principles  for  Enhancing  Corporate  Governance,  March  2010  Qualifica&on  of  Board  members  »  Appropriate   experience,   competencies   and   personal   quali&es,   including   professionalism   and   personal  integrity  –  Both  at  individual  and  Board  level  »  IndicaBve  areas  of  experBse:  Finance,  Accoun&ng,  Strategic  planning,  Communica&ons,  Governance,  Risk  management,  Legal,  Bank  regula&on,  Audi&ng  and  Compliance  »  Basel  recommends  tailored  iniBal  training  and  con&nuous  ongoing  training  on  relevant  issues  for  Board  members  »  Responsibility  of  providing  risk  management  related  training/knowledge  to  the  Board  members  (especially  the  NEDs  rests  with  the  CRO  
  23. 23. ‹#›   IFC  Corporate  Governance  Program  Fit  and  proper  test  –  Regulatory  criteria    Fit  and  proper  criteria  include:  (i)  Skills  and  experience  in  finance  commensurate  with  the  intended  ac&vi&es  of  the  bank  (ii)  No  record  of  criminal  ac&vi&es  or  adverse  regulatory  judgments  that  make  a  person  unfit  to  uphold  important  posi&ons  in  a  bank    BIS,  Core  Principles  Methodology,  October  2006  Fit  and  proper  test  –  FSA  requirements  »  Applicable   to   Board   Chairman,   Chairman   of   risk   commiKee,   Chairman   of   audit   commiKee,   Chairman   of  remunera&on  commiKee,  Senior  independent  director  (SID)  among  others  Personal  CharacterisBcs   Competencies  »  Honesty  »  Leadership  »  Integrity  and  Reputa&on  »  Accountability  »  Maturity  »  Work  Ethic  »  Interpersonal  skills  »  Industry  Experience  »  Business  Judgment  »  Educa&on/Special  Skills  –  Finance  and  Accoun&ng;  –  Risk  Management  and  Internal  Control  –  Strategic  Management  –  Bank  products  and  markets  
  24. 24. ‹#›   IFC  Corporate  Governance  Program  ResponsibiliBes  of  Chairman  and  CEO  Board  Leadership  Business  Leadership  Chief  ExecuBve  Officer:  »  Develops/recommends  strategic  direc&on  »  Develops/recommends  business  plans  and  budgets  »  Develops  effec&ve  execu&ve  board  or  management  team  »  Carries  out  corporate  ac&vi&es  to  achieve  corporate  strategy  and  business  plans  The  Chairman  of  the  Board:  »  With  the  board,  approves  strategic  direc&on  »  With  the  board,  approves  business  plans  and  budgets  »  Organizes  work  of  the  board  »  Monitors  and  guides  managerial  performance  »  Decides  on  the  agenda  for  Board  mee&ngs  in  consulta&on  with  the  CEO  For  banks  which  seek  to  clearly  separate  the  roles  of  the  CEO  and  the  Chair  a  summary  of  primary  responsibili&es  of  the  CEO  and  the  Chairman  have  been  listed  below  
  25. 25. ‹#›   IFC  Corporate  Governance  Program  Board  commiees  and  composiBon   3  SecBon  
  26. 26. ‹#›   IFC  Corporate  Governance  Program  Typical  Board  structure  Board  of  Directors  Chairman  Management  Team  Chief  ExecuBve  Officer  Audit  Commiee  NominaBon  Commiee  Credit  Commiee  Risk  Commiee  RemuneraBon  Commiee  ALCO  Chief  Internal  Auditor  External  Audit  Senior  Partner  Compliance  Officer  Chief  Risk  Officer  Chief  Financial  Officer   Chief  Credit  Officer  Full  voBng  members  Not  a  member,  but  aending  Structure/governing  body  
  27. 27. ‹#›   IFC  Corporate  Governance  Program  Board  commiees  at  a  bank  Board  commiees  The  Combined  Code  requires  firms  to  have  the  following  Board  commiKees  Audit  Commiee   NominaBon  Commiee  RemuneraBon  Commiee  AddiBonally,  Banks  usually  have  the  following  commiees  Board  Risk  Commiee   Compliance  Commiee  Board  Credit  Commiee   Market  Risk  Commiee   Strategy  Commiee  Range  of  combina&ons  used  along  with  Audit  commiKee  (see  next  slide)  Other  possible  Board  CommiKees  CSR  Commiee  Finance/Capital  Management  Commiee  Ethics  Commiee  Human  Resources  Commiee   Treasury  Commiee   IT  Steering  Commiee  
  28. 28. ‹#›   IFC  Corporate  Governance  Program  Risk-­‐related  commiees  at  a  bank  Range  of  combinaBons  Nomina&on  and  Governance  commiKee  Audit  commiKee   Risk  commiKee  Compliance  commiKee  Audit,  Risk  and  Compliance  commiKee  Risk  and  Compliance  commiKee  Audit  and  Compliance  commiKee  Audit  and  Risk  commiee  Audit  commiKee  Risk  commiKee  Compliance  1  2  3  4  5  Not  a  prudent  governance  prac&ce  to  combine  Audit  and  Risk  func&ons  in  a  Board  level  commiKee  Remunera&on  commiKee  Alterna&vely,  some  banks  combine  the  Nomina&on  and  Remunera&on  commiKees  
  29. 29. ‹#›   IFC  Corporate  Governance  Program  Board  commiees  at  a  bank  Survey  of  European  Banks  Survey  of  Top  25  European  Banks*  Source:  Nestor  Advisors,  Board  profile,  structure  and  prac&ce  in  large  European  Banks,  2008  
  30. 30. ‹#›   IFC  Corporate  Governance  Program  Establishing  commiees  Key  quesBons  to  be  answered  When   should   a   bank   establish   a  Board  level  commiee?  When   the   magnitude,   complexity   and   importance   of   issues   exceed  the  bandwidth  of  the  Board  Standing   commiee   or   ad   hoc  commiee?  For  major,  long-­‐term  ac&vi&es  establish  standing  commiKees  For  rela&vely  short-­‐term  ac&vi&es,  establish  ad  hoc  commiKees  Usually,  large  banks  have  4-­‐6  Board  level  commiKees  Commiee  composiBon  At  least  3  members  on  each  commiKee  (op&mal  size  varies)  No  membership  of  more  than  2  commiKees.  Independent  members  for   Audit,   Compliance,   Risk,   Nomina&on   and   Remunera&on  commiKees  Commiee  meeBng  frequency   Monthly,  Quarterly  mee&ngs  Commiee  Quorum   Vo&ng  rights,  quorum,  proxy  issues  to  be  iden&fied  
  31. 31. ‹#›   IFC  Corporate  Governance  Program  Thank  You  

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