Capital Markets School - October 2023

Internal Use Only

The Lines of Defense

Another View:

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Internal Use Only

The Lines of Defense - First The ongoing roles and responsibilities of the 1LOD include the following: • Engage in risk-taking activities, which include developing and implementing strategies to drive revenue opportunities. • Ownership and Accountability for business risks and control design/effectiveness to operate within the policies, standards, and limits set by the 2LOD. • Escalate changes in the business or the risk environment that could affect the Company’s risk profile and control environment. • Effectively manage activities to meet strategic objectives within Risk Appetite.

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