PwC’s Asset and Wealth Management Corporate Governance Survey 2023: the evolving landscape of board governance

Our 2023 corporate governance survey which included management companies, funds, investment firms and fund service providers was conducted from February to July 2023. In total 56 firms completed the survey, marking a 93% increase compared to our previous survey in 2018. 

The survey aimed to assess the evolution of corporate governance within the Asset and Wealth Management sector. Notably, since our initial survey in 2013, the Central Bank of Ireland introduced CP86, a highly influential guideline for the industry. Our survey tries to capture the transformation in corporate governance practices following the implementation of CP86 and the ensuing development of fund management companies in Ireland. Specifically, it examines whether the heightened scrutiny, governance, and substance requirements have led to substantial improvements in corporate governance and the support provided to board directors, ultimately enhancing effective fund oversight.

With the implementation of the Individual Accountability Framework (“IAF”) and the adoption of conduct standards and enhanced fitness and probity requirements applicable from the end of 2023, board members will need to become more cognisant of their obligations and responsibilities. Board training can help directors’ awareness of their obligations and responsibilities but our survey results indicate that only around 20% of boards are utilising this approach. 

Our survey also looked at the priority areas that directors and boards, in the Asset and Wealth Management industry in Ireland, are considering both operationally and strategically. Not surprisingly, our survey found that ESG (66%), governance & compliance (54%) and individual accountability (54%) were identified as the top three priority areas.