Wells Fargo 2014 Annual Report Download - page 57

management for each key risk type. The Risk Committee also
reviews and approves the enterprise statement of risk appetite
and the enterprise-wide limit structure, and actively monitors
the risk profile relative to the approved risk appetite.
Board of Directors
Annually approves overall enterprise risk appetite statement
Board Committees
Risk Committee
Oversight includes:
• Enterprise-wide risk
management
framework, which
outlines the policies,
processes, and
governance
structures used to
execute the
Company’s risk
management
program
• Functional
framework and
oversight policies,
which outline roles
and responsibilities
for managing key
risk types
• Corporate Risk
function, including
performance of the
Chief Risk Officer
• Aggregate
enterprise-wide risk
profile and
alignment of risk
profile with
Company strategy,
goals, objectives,
and risk appetite
Audit &
Examination
Committee
Oversight includes:
• Internal controls
over financial
reporting
• External auditor
performance
• Internal audit
function, including
performance of
the Chief Auditor
• Operational risk
(including
technology),
compliance with
legal and
regulatory
requirements, and
financial crimes
(BSA/AML) risk
• Ethics, business
conduct, and
conflicts of interest
program
Credit Committee
Oversight includes:
• Credit risk,
including high risk
portfolios
• Allowance for
credit losses,
including
governance and
methodology
• Adherence to
enterprise credit
risk appetite
metrics and
concentration
limits
• Compliance with
credit risk
framework, policies
and underwriting
standards
• Credit stress
testing activities
• Risk Asset Review
organization,
resources, and
examinations of
credit portfolios,
processes, and
practices
Corporate
Responsibility
Committee
Oversight includes:
• Fair and
responsible
mortgage and
other consumer
lending
reputational risks
• Reputation,
including with
customers, as well
as customer
service and
complaint matters
• Social
responsibility
risks, including
political and
environmental
risks
Human Resources
Committee
Oversight includes:
• Compensation risk
management
• Talent management
and succession
planning
Governance &
Nominating
Committee
Oversight includes:
• Corporate governance
compliance
• Board and committee
performance
• Risk appetite
statement, including
changes in risk
appetite, and
adherence to risk
limits
• Risks associated
with acquisitions and
significant new
business or strategic
initiatives
• Liquidity and funding
risks, emerging risk,
strategic risk, and
cross-functional risk
Finance Committee
Oversight includes:
• Interest rate risk,
including the MSR
• Market risk,
including trading
and derivative
activities, and
counterparty risks
• Investment risk,
including fixed-
income, and equity
portfolios
• Capital adequacy
assessment and
planning, and stress
testing activities
• Annual financial plan
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