In accordance with the Corporate Governance rules and with the different laws applicable to collective investment bodies, Cofinimmo has set up a risk management and internal control procedure. To do so, the company has chosen as reference procedure the Enterprise Risk Management (ERM) model developed by COSO (Committee of Sponsoring Organisations of the Treadway Commission). COSO (www.coso.org) is an organisation that stems from the private sector and which purpose is to promote the improvement of the financial reporting quality through the application of business ethics rules, an effective internal control system and corporate governance rules.
The ERM model has 6 components:
- internal environment;
- setting of objectives and risk appetite;
- identification, analysis and control of risks;
- control activities;
- information and internal communication;
- surveillance and monitoring.