Strategic report Governance Financial statements Other information CORPORATE GOVERNANCE REPORT CONTINUED Governance framework Product Governance Committee Audit Committee Hargreaves • Oversees product governance •Monitors the integrity of the Group’s arrangements for products and financial reporting Lansdown services manufactured or distributed •Monitors the adequacy and by the Group effectiveness of the Group’s internal plc Board • Oversees the Group’s client controls proposition •Oversees the Group’s relationship with Schedule of matters reserved: • Oversees the policy for admitting its external auditor and the effectiveness • Approval of the Group’s financial instruments to the Group’s of the Internal Audit function strategic aims and objectives investment platform Setting the Group’s values and • standards • Approval of the Group’s purpose Executive Risk Committee Nomination Committee and ensuring that its purpose, • Oversees and advises on the Group’s •Monitors the composition of the Board values and strategy are aligned risk profile and changes to it by to ensure it remains appropriate with its culture reference to the principal risks •Recommends appointments to the Approval of annual operating • • Advises on the Group’s current risk Board and its Committees and capital expenditure budgets exposures, future risk strategy and •Conducts succession planning for Overseeing the Group’s operational resilie • nce the Board and senior management operations and management • Oversees capital adequacy activity Group Executive Chief Executive •Oversees the annual evaluation of Ensuring the maintenance under the ICAAP regime the Board’s effectiveness • of a sound system of internal Committee Officer controls and risk management Established by the Chief Responsible for executive • Reviewing performance in light Executive Officer to help him leadership of the Group in of strategic aims and objectives Reward Governance Committee discharge his duties accordance with Board- Remuneration Committee Approval of the Group’s annual Oversees and reviews proposals for approved strategic objectives Oversees and keeps under review the • • and changes to theGroup’s incentive •remuneration policies for Executive report and accounts and interim schemes for individuals below Director Directors, Material Risk Takers and financial statements role level colleagues generally • Approval of the Company’s Reviews and oversees the list of Determines total remuneration dividend policy and payments • • Approval of major capital Material Risk Takers for Executive Directors, senior • projects • Assists with the risk adjustment management and Material Risk process for the Group’s variable Takers, and associated targets for • Approval of communications incentive schemes performance related pay to the Company’s shareholders • Ensuring adequate succession planning, agreeing Board Conflicts Committee Risk Committee appointments and the Maintains and oversees the Group’s Reviews and advises the Board on appointment or removal of the • policy and framework for the •changes to the Group’s risk appetite, Company Secretary identification and management of risk profile and future risk strategy • Determining remuneration conflicts of interest within the Group Monitors the effectiveness and policy for Executive Directors • • Reviews subsisting conflicts of interest improvements being made to the within the Group and the sufficiency Group’s risk management framework of mitigating measures •Oversees the delivery of the • Determines appropriate action where Group’s ICAAP material conflicts arise 73 Hargreaves Lansdown Report and Financial Statements 2021