Suitability of members of the management body and key function holders under the Joint ESMA-EBA Guidelines and CSSF

As member of the management body or key function holder (CCO, CRO or CFO), you are now subject to new suitability requirements introduced by the joint EBA-ESMA Guidelines and transposed in the updated version of CSSF Circular 12/552 (as amended by CSSF Circular 20/759).

This means that you will be required to demonstrate sufficient knowledge, skills and experience to perform your duties, at both individual and collective levels. The suitability requirements also cover the honesty, integrity and independence of the members and their ability to commit sufficient time to perform their duties.

These new requirements apply both at individual level and collectively, i.e. at management body level. The Guidelines aim at strengthening the internal governance of credit institutions and investment firms.

Your institution will be required to implement mechanisms to assess the individual and collective suitability of its management body and, where applicable to report the identified shortcomings to the regulator and to define corrective measures.

8 June 2021 (ENG) - 10am-12pm

9 July 2021 (ENG) - 2pm-4pm

Price: 300.00 €

Duration: 2h

Language: English, also available in French

Number of participants: 15

Objectives

By the end of this training, the participants will be able to:

Understand the main requirements governing the suitability of the members of the management body;
Understand the suitability concepts: sufficient time commitment, reputation honesty and integrity, independence of mind and independent members;
Understand the main principles governing the assessment of the individual and collective suitability of the members of the management body;
Understand the new diversity requirements.

Content

Presentation of the suitability requirements introduced by the EBA Guidelines;
Description of the four suitability pillars: sufficient time commitment, reputation honesty and integrity, independence of mind and independent members;
Presentation of the new definition of conflicts and interests;
Description of the process to be followed to appoint a new Board members, authorised manager or key function holder;
New collective suitability assessment;
Induction and training programs for Board members, authorised managers and key function holders.

Target audience

Board members;
Authorised managers;
Key function holders, including: Chief Internal Auditor, Chief Compliance Officer, Chief Risk Officer, Chief Financial Officer.