The Risk Committee (RC) is established pursuant to Art. 13 para. 3 of the Articles of Association and Art. 3 of the Organisational Rules. The Committee assists the Board in overseeing the identification, monitoring and management of risks and prepares matters within its remit for decision by the Board. The Committee reports regularly on its activities.
The Board has confirmed the central duties and operating principles of the Committee in a written charter, the essential contents of which are presented below.
Certain subsidiaries of the Company, including Multitude Bank p.l.c., which is licensed by the Malta Financial Services Authority, may maintain their own risk committees.
Composition
- Marion Khüny (Chair)
- Mika Ståhlber
- Ari Tiukkanen
Governance principles
Members of the Committee must possess the experience, knowledge and qualifications necessary to understand and monitor the Group’s risks. Members may not participate in the day-to-day management of the Company or its subsidiaries. A majority of the members must be independent of the Company, and the Chair of the Audit Committee shall be a member of the Risk Committee.
The Chair is appointed by the Board from among the non-executive members.
The Chief Risk Officer attends meetings of the Risk Committee unless otherwise instructed by the Committee. Other relevant executives attend meetings as invited.
Main responsibilities
The Committee shall, in particular:
- work with Multitude team members to establish and maintain a framework to:
(a) identify new and existing material risks pertaining to Multitude and its business;
(b) regularly classify, monitor, calibrate probability and severity of risks; and
(c) significant adjustments arising from the audit.
The main risks covered by the oversight responsibilities include, but are not limited to, credit, market, liquidity and operational risks, including ESG risks.
- advise and support the Board regarding the monitoring of the institution’s overall actual and future risk appetite and strategy, considering all types of risks, to ensure that they are in line with the business strategy, objectives, corporate culture and values of the institution;
- review new business opportunities and anticipate changes in the Group’s risk profile introduced by such new processes and projects or by other factors, and initiate actions to address them;
- report annually to the Audit Committee on risk management and compliance with laws and regulations;
- escalate to the Audit Committee any items that have a significant compliance or financial statement impact or require significant financial statement or regulatory disclosures;
- consider material risks, brought to its attention by the Chief Risk Officer, associated with offered financial products and services and take into consideration the alignment between the prices assigned to and the profits gained from those products and services;
- review recommendations made by the internal and external auditors, and by regulatory agencies with respect to the risk management activities of the Group, and management’s responses in relation to these recommendations, and ensure that these reports are followed up accordingly;
- evaluate and report to the Board on the Group’s risk profile and risk monitoring, in particular with respect to:
(a) performance against risk appetite and approved risk type limits;
(b) risk trends;
(c) risk concentrations; and
(d) key risk indicators;
- oversee policy implementation and monitor compliance with policies; and
- consider the adequacy of resources required to perform the appropriate risk management duties.
The Committee may also discuss other matters and duties delegated to it by the Board.
Further information
Further details regarding the activities of the Risk Committee during 2025 are set out in the Corporate Governance Statement 2025.
Further information regarding the risk management framework and principal risks of the Group and Multitude AG is set out in the Annual Report.