The Perils of Combining Audit and Compliance

By Matt Kelly | February 1, 2016

Few compliance and audit executives believe that integrating those two functions is a wise idea, but good news for those of you forced by your CEO to march down that dubious path—you have some fresh guidance on how to make the trip with minimal missteps. Last week the Institute of Internal Auditors published a slim…

Toward Better Boards, and More Diverse Boards

By Matt Kelly | January 29, 2016

Well, apparently now it’s the nominating and governance committee’s turn to be hammered on the anvil of corporate governance reform. We see the evidence everywhere: a report from the Government Accountability Office noting that at current pace, women will represent half of all seats on corporate boards sometime around 2055. Calls for more women, minorities,…

The Board’s Role in Resilience: A Limited One

By Matt Kelly | January 27, 2016

Yesterday I had the privilege to participate in a corporate governance forum in New York, talking about the board of directors’ role in building corporate resilience. Resiliency is a popular buzzword in governance circles these days, so I want to recap some of the main points here—because while I agree that the modern company absolutely…

‘Compliance 2.0’ and Compliance Careers in Finance

By Matt Kelly | January 26, 2016

Anyone looking for jobs in the compliance field these days is bound to encounter the hot buzzword in the profession, “Compliance 2.0.” Mostly this phrase is marketing spin—but it’s worth dissecting in a bit more detail, because there is some substance behind the idea, and that can have some importance as compliance professionals look for…

Business Ethics, the Bulwark Against Political Risk

By Matt Kelly | January 22, 2016

I try not to wax too philosophical in my columns, nor take such a macro-economic view of events that I lose sight of the relevance to compliance officers. Sometimes, however, as we all struggle to answer that eternal question, “Does fighting for ethical business standards really matter?” a perspective comes along that answers the question…

Overseeing the Audit Amid a Winter of Turmoil

By Matt Kelly | January 20, 2016

As Wall Street crashes around our ears this week—down 1.5 percent just today, and off to its worst yearly start ever—audit committees at financial firms should strap yourselves in. This year’s audit could be the most tumultuous you’ve overseen in a long while. At least, that’s the conclusion I reach as I re-read the guidance…

Audit Committees in Banking, Listen Up

By Matt Kelly | January 18, 2016

Audit committees at big international banks have just been nudged. Whether that nudge is friendly or not remains to be seen. The regulatory poke to the ribs came in a bulletin issued Friday by three U.S. banking regulators, voicing their support for external audits of large banks done according to standards issued by the Basel…

Corporate Disclosure, Social Policy, and Dirty Pool

By Matt Kelly | January 15, 2016

Several times now I’ve mentioned that the Dodd-Frank Act “works” in the sense that it has brought more stability to the financial system, even if other parts of the law are wrong-headed. Today, let me talk about one of those wrong-headed parts: the Conflict Minerals Rule. Or more accurately, let’s use the Conflict Minerals Rule…

How We’re Tackling Systemic Risk in the Financial System Today

By Matt Kelly | January 13, 2016

I had the good fortune yesterday to participate in a briefing with a few lawyers from Quarles and Brady, a mid-sized firm based in Wisconsin that handles corporate law. We were there to talk about compliance issues facing the financial services industry in 2016—and you’ll be happy to know that compliance officers will have no…

Keeping Your Compliance Bearings in Big Data World

By Matt Kelly | January 11, 2016

Corporate compliance officers have another agency firing warning shots across the bow these days: the Federal Trade Commission, which has shared more of its thinking recently about how businesses should handle Big Data. Last week the FTC published a 35-page report looking at that various ways a firm could get into trouble by using Big…