GOVERNANCE STRUCTURE

Corporate Governance is the allocation of authority, roles and responsibilities within a company.

Corporate Governance is a framework for the internal organization of a company; helps deal with conflicts of interest and helps align persons within a company towards achieving its vision, goals and strategy.

Arqaam Group is fully committed to high standards of corporate governance in accordance with international best standards and recognises its importance. As such, Arqaam Group has sought to adopt a corporate governance structure which is suitable for its size, business and status (including appropriate controls, documented policies and procedures, and fit and proper individuals); but which also takes into account the fact that it is a private unlisted company.

Arqaam Group’s corporate governance structure is based on the following principles:

Governance / Corporate Governance
Corporate Governance Principles
Effectiveness
Corporate governance structure should be clear, solid and definitive, as well as effective.
Transparency
Corporate governance structure should be transparent, internally to unite the company and externally to create a good name.
Accountability
Corporate governance structure should define responsibilities and hold persons accountable within the remits of their respective roles.
Inclusiveness
Corporate governance structure should make shareholders, managers and employees all feel welcome and involved in the business.
Abidance
Corporate governance structure should encourage legal and regulatory compliance and set this tone at the top.
Risk Management
Corporate governance structure should have effective risk management systems in place to identify, control and mitigate risk.
Arqaam Group’s corporate governance structure can be summarised as follows:
Corporate Governance Structure
Shareholders
Shareholders are the ultimate controllers and beneficiaries of the firm, with the right to appoint, remove or replace the Board of Directors.
Board of Directors
Board of Directors is the supreme governing body of the firm, providing strategic direction, leadership and oversight and all important matters are reserved for Board approval. The Board of Directors reports to the Shareholders.
Board Committees
Board Committees are smaller groups (including Board members) which are delegated with responsibility on specific topics by the Board and who report to, advise and make recommendations to the Board. Arqaam Group includes Board Committees for effective decision-making, Saudi business and set-up, and nomination and remuneration.
AGM Board and Committees
Arqaam Global Markets has its own Board of Directors and Board Committees, to which Arqaam Group has delegated responsibilities and relies on in terms of the management, oversight and supervision of the Arqaam Global Markets business and certain Arqaam Group matters. Arqaam Global Markets includes Board Committees for management, remuneration, audit, risk and technology.
AIP Board and Committees
Arqaam Investment Partners has its own Board of Directors and Board Committee, to which Arqaam Group has delegated responsibilities and relies on in terms of management, oversight and supervision of the Arqaam Investment Partners business and certain Arqaam Group matters. Arqaam Investment Partners includes Board Committees for investment decisions and oversight of invested transactions.