Wells Fargo 2013 Annual Report Download - page 54

Risk Management – Credit Risk Management (continued)
unnecessary duplication, the Risk Committee’s members
consist of the chairs of each of the Board’s other committees.
Board of Directors
Annually approves overall enterprise risk appetite statement
Board Committees
Risk Committee
Oversight includes:
x
x
Enterprise-wide risk
management
framework, including
processes and resources
necessary to execute the
Company’s risk program
x Performance of Chief
Risk Officer
x Aggregate enterprise-
wide risk profile and
alignment of risk profile
with strategy, objectives,
and risk appetite
x Risk appetite statement,
including changes in risk
appetite, and adherence
to risk limits
x Emerging risks
x Risks associated with
acquisitions and
significant new business
or strategic initiatives
Audit &
Examination
Committee
Oversight includes:
x Internal controls
over financial
reporting
x External auditor
performance
x Internal audit
function, including
performance of Chief
Auditor
x Legal, regulatory,
and compliance risks
x Operational risks,
including technology
x Major financial risk
exposures and
general process for
risk assessment and
management
Finance Committee
Oversight includes:
x Interest rate risk,
including the MSR
x Market risk, including
trading and derivative
activities and
counterparty risks
x Liquidity and funding
risks
x Investment risk,
including fixed-
income and equity
portfolios
x Capital adequacy
assessment and
planning, and stress
testing activities
Credit Committee
Oversight includes:
x Credit risk,
including high risk
portfolios
x Allowance for credit
losses, including
governance and
methodology
x Adherence to
enterprise credit
risk appetite
metrics and
concentration limits
x Compliance with
lending policies and
credit underwriting
standards
x Credit stress testing
activities
Corporate
Responsibility
Committee
Oversight includes:
x Mortgage and
other consumer
lending
reputational risks
Reputation with
customers,
including
complaints and
service matters
x Social
responsibility
risks, including
political and
environmental
risks
Human
Resources
Committee
Oversight includes:
x Compensation
risk management
x
Talent
management and
succession
planning
Governance &
Nominating
Committee
Oversight includes:
x Corporate
governance
compliance
x Board and
committee
performance
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