Art. 12a

(Art. 14 para. 1^terCISA)

1. The licensee must ensure it has proper and appropriate risk management, an internal control system (ICS) and compliance covering its entire business activities.
2. Risk management must be organised so that all material risks can be adequately identified, assessed, controlled and monitored.
3. The licensee shall separate the functions of risk management, the internal control system and compliance in functional and hierarchical terms from the operating units, in particular from the investment decisions function (portfolio management).
4. FINMA may grant derogations from these requirements in justified instances.
5. It may regulate the details of risk management, the internal control system and compliance.¹