Final Questionnaire | Directors Academy

At what level of shareholding in a credit institution is a company subject to control by BaFin?

from 10% upwards

from 30% upwards

at every investment

from 20% upwards

Correct! Wrong!

How does the Compliance Department fulfill its tasks?

Please select 2 correct answers

Submits the compliance report directly to the Supervisory Board

Is independent.

Monitors and supports the other departments in complying with regulations and laws.

It´s closely linked to the internal audit department.

Correct! Wrong!

What does compliance at credit institutions involve? Which statements are correct?

Please select 3 correct answers

Also refers to the requirements of the regulatory authorities.

Is essentially limited to traditional issues such as the prevention of money laundering, terrorist financing and other criminal activities.

Has an important function in the new product process (NPP) and in the settlement of transactions.

Means compliance with all laws, regulations, guidelines, contractual obligations and voluntary commitments.

Correct! Wrong!

Who controls the so-called "significant" institutions?

Basel Committee on Banking Supervision

Federal Financial Supervisory Authority (BaFin)

Financial Stability Board (FSB)

European Central Bank (ECB)

Correct! Wrong!

What requirements must a member of the supervisory board of a CRR institute of "significant importance" meet according to Section 25d KWG?

Please select 3 correct answers

Unless he is otherwise a director, he may not, in principle, be a member of the supervisory body of more than four companies.

He may not be a director in another company.

He must, in cooperation with other members of the supervisory body, have the necessary expertise to carry out the supervisory function and to assess and monitor the business conducted by the company concerned.

He must devote sufficient time to the performance of his duties.

Correct! Wrong!

A derivative is a financial instrument...

Please select 2 correct answers

which is generally recognised in the balance sheet under the German Trading Act.

where the acquisition costs are not incurred or are incurred only to a very limited extent.

which will be fulfilled only in the future.

A derivative is a financial instrument whose fair value generally reacts to changes in the value of a market-related reference value accounting (underlying).

Correct! Wrong!

How do the special accounting rules for financial institutions come about?

Please select 3 correct answers

From the special economic significance of the banks.

From strong regulation.

From the special transactions of credit institutions.

From EU enlargement.

Correct! Wrong!

How does the Supervisory Board behave in a compliant manner?

Each member should view the Compliance Report and form his or her own opinion.

Only the Chairman of the Supervisory Board is informed about compliance violations.

Each member is reviewed once a year by the Compliance Department.

Correct! Wrong!

What is evaluated in the Supervisory Review and Evaluation Process (SREP)?

Please select 4 correct answers

Risk culture as part of the corporate culture

Cashflow Analysis

Liquidity and refinancing risk

Personal relations with BaFin

Business model

Governance

Correct! Wrong!

Which of these committees must be formed by the supervisory board of a CRR institute of "considerable importance"?

Please select 3 correct answers

Risk Committee

Personnel Committee

Remuneration Control Committee

Nominations Committee

Correct! Wrong!

What applies to the purchase of insurance against the personal liability of supervisory board members?

Please select 2 correct answers

The conclusion of such insurance by the Company is not permitted.

A deductible is often agreed.

With a D&O insurance policy I no longer have to worry about my liability.

Such insurance often does not cover cases of gross negligence.

Correct! Wrong!

BaFin requires an SREP surcharge of 0.25-0.5% additional equity because the minimum requirements for corporate governance are not met. What can you do in the supervisory board to prevent or reverse an SREP surcharge?

I demand that my Chairman of the Supervisory Board contact BaFin and clarify the reasons for the SREP surcharge.

I'll leave the reaction to the management board. It's up to them!

Nothing at all. BaFin can decide whatever it wants.

I suggest we take legal action against BaFin because the SREP surcharge is a chicanery.

Correct! Wrong!