The Central Bank has published a consultation paper on Corporate Governance Requirements for Investment Firms (CP No. 94). The paper proposes to introduce a number of corporate governance requirements for investment firms relating to:
- Minimum board size (at least 3 directors):
- The composition of the board (a majority of non-executive directors, subject to certain exemptions);
- The role and responsibilities of the Chairman;
- The role and responsibilities of the CEO;
- The frequency of board meetings (at least four times per calendar year and at least once in every six month period);
- The role and composition of the risk committee;
- The role and composition of the audit committee.
In addition to the above "core requirements", additional requirements are proposed for firms designated as High and Medium High Impact under PRISM; low risk firms will be encouraged to adopt these additional requirements. Responses to the consultation paper should be submitted to the Central Bank no later than 5 August 2015.