APRA CPS 220 Risk Management CPS220-02: Board Responsibility for the Risk Management Framework

The Board is ultimately responsible for the risk management framework and for overseeing its operation by management, and must ensure it sets risk appetite and approves the risk appetite statement and risk management strategy, forms a view of risk culture and drives any changes needed, has senior management monitor and manage all material risks consistently with approved strategy, appetite and policies, has an operational structure that supports effective risk management, has risk taking policies and processes consistent with the strategy and appetite, dedicates sufficient resources to risk management, and recognises the uncertainties, limitations and assumptions in measuring each material risk.