Title I - Subject matter, Scope and definitions
1. Subject matter
The Guidelines aim to harmonise supervisory expectations and to improve the sound implementation of internal governance arrangements in line with Article 22 and Annex V of Directive 2006/48/EC and national company laws.
2. Scope and level of application
1. Competent authorities shall require institutions to comply with the provisions laid down in these Guidelines on Internal Governance.
2. The application of these Guidelines shall be reviewed by competent authorities as part of their Supervisory Review and Evaluation Process.
|
Explanatory note CEBS/EBA has produced Guidelines on the Supervisory Review Process, which can be found on the EBA website. |
3. The Guidelines apply to institutions on a solo basis and to parent undertakings and subsidiaries on a consolidated or sub-consolidated basis, unless stated otherwise.
4. Proportionality, as laid down in Directives 2006/48 and 2006/49 (as amended), applies to all provisions contained in the Guidelines. An institution may demonstrate how its approach, reflecting the nature, scale and complexity of its activities, meets the outcome required by the Guidelines.
3. Definitions