To assess the extent of implementation of corporate governance regulatory changes with the revised Corporate Governance Code from 1 January 2016, we recently hosted a number of seminars to clients in Hong Kong (28 July), Guangzhou (1 August) and Shenzhen (2 August) to brief our clients on key findings our second-year study of the corporate governance reports of 230 Hong Kong listed companies for fiscal year 2016.
According to the live survey conducted during the seminars about the confidence in addressing the new CG Code requirements, around 40% of respondents recognised that their organisations still did not meet all CP requirements, and around 20% did not sure what they have missed or even did not know how to do.
Last year, we first launched a publication named “Cracking the Corporate Governance Code – How ready are Hong Kong listed companies in meeting new requirements” to analyse 230 Corporate Governance Report disclosures made by each constituent of the HSI, HSCEI and four industries (including financial services, real estate, technology and retail) in their corporate governance reports for fiscal year 2015.
As a second wave, this year we take a deeper dive and study the corporate governance reports for fiscal year 2016 on the same population and summarise the market trend of addressing the revised Corporate Governance Code. Areas of our study include annual review of risk management and internal control system, internal audit function, management confirmation to the Board and other required disclosure areas.
During our seminars, we discussed about the market practices that respond to the risk management and internal control requirements; how good Corporate Governance Reports look like; what opportunities companies can seize; and feasible approaches to move forward.
We had a very positive and overwhelming response with over 180 directors and senior management officers, including Chief Executive Officers, Chief Finance Officers, Company Secretaries, Compliance Officers, Internal Audit Practitioners, Risk Management Officer and Financial Controllers to join our seminars in Southern China.
Stay tuned to our upcoming 2017 version of the study for detailed findings and our insights on how ready are Hong Kong listed companies in addressing new requirements of the revised Corporate Governance Code.
Should you have any queries about the seminar or the revised Corporate Governance Code requirements, please do not hesitate to contact our lead partners of this service in each region listed below.
China Mainland and HK Governance and Internal Audit Service Leader, PwC China
Tel: + (21) 2323 3405