ECIIA participated in the European Contact Group (ECG) Roundtable on good corporate governance for the market valuation of European Companies, on February 9.
During the event, we discussed the findings of the Oxera report and the recommendations for the European Regulators in terms of Good corporate governance for the market valuation of European Companies. This initiative is linked with the Call for Evidence on the quality of corporate reporting by DG FISMA. The consultation covered three pillars of corporate reporting: (i) corporate governance; (ii) statutory audit; and (iii) the supervision of statutory auditors and audit firms. This study, commissioned by the European Contact Group, focuses on the first pillar.
The current corporate governance codes and obligations are not harmonised in Europe and most panelists preached for soft laws, strong internal control systems, strong responsibilities for the Management, and clear allocation of responsibilities in the organisation. Some panelists recommended the obligation to set up an Audit Committee and an Internal Audit function to strengthen the level of assurance internally. Culture, ethics, and Board independence were also listed as key areas for strong corporate governance.