SUSTAIN ACCELERATION

Our risk appetite is articulated in our risk appetite statement, which is approved by the Board. Key elements include:

risks that we accept as part of doing business, such as credit risk, market risk, and capital and liquidity risk, which are controlled

through both active risk management and our risk appetite;

risks that we incur as part of doing business, such as non$-$financial risks, which are actively managed to remain below an

acceptable appetite; and

risks for which we have zero tolerance, such as knowingly engaging in activities where foreseeable reputational risk has not been

considered.

In $2019,$ we continued to refine and evolve our risk appetite, by enhancing both the financial and non$-$financial aspects of our

risk appetite statements to ensure we are able to support

our strategic goals against a backdrop of economic and geopolitical uncertainty.A specific emphasis was placed on capital risk

and non$-$financial risks, with the inclusion of third$-$party risk management and enhanced model risk oversight.Qestion : As discussed in class, your team must decide on the size and scope of the change effort.

As you read in the documents provided, they have already made a decision to move forward with some changes?

Do you feel that these changes are sufficient based on your answer you identified in question $1?$

Also, given the focus of the changes, will these changes be implemented company wide $-$ or should they be focused on specific markets?