Independence
Independence from management is fundamental to its role, and the Board has put effective
mechanisms in place to ensure its independence.
All direct and indirect material relationships with RBC are considered in determining
whether a member of the Board is independent.
Oversight of
Strategy
The members of the Board are the key advisors to management, overseeing strategic
direction and the formulation of plans, taking into account both the opportunities and risks
of RBC’s businesses.
In carrying out this oversight role, the Board actively engages in setting the long term
strategic goals for the organization, reviews and approves business strategies, corporate
financial objectives and financial and capital plans that are consistent with the strategic
goals, and monitors RBC’s performance in executing strategies and meeting objectives.
Oversight of
Risk
A key priority of the Board is embedding a strong risk management culture throughout the
organization and overseeing the frameworks, policies and processes adopted to identify
principal risks to the businesses and systems implemented to manage those risks.
The Board actively monitors the organization’s risk profile relative to risk appetite and seeks
to ensure that management’s plans and activities provide an appropriate balance of return
for the risks assumed and are prudently focused on generating shareholder value.
Accountability
The Board has carefully defined the expectations and scope of duties of the Board, its
committees and management.
Transparency is fundamental to good governance, and the Board takes seriously RBC’s
commitment to constructive shareholder engagement and clear and comprehensive
disclosure and financial reporting.
Continuous
Improvement
The Board is committed to continuous improvement of RBC’s corporate governance
principles, policies and practices, which are designed to align the interests of the Board and
management with those of shareholders, to support the stewardship role of the Board, and
to enhance the Board’s ability to safeguard the interests of shareholders through
independent supervision of management.
To ensure our policies and practices meet or exceed evolving best practices and regulatory
expectations, RBC’s corporate governance system is subject to ongoing review by the
Governance Committee of the Board.