Singapore Government

Shareholders' Guide to Assurance: Questions to Ask at AGMs about a Company's IA Function

The Internal Audit (IA) function reviews a company's operations to identify and correct loopholes and lapses, thereby helping to safeguard shareholders' investments in the company. Investors and shareholders should find out if the companies they invested in have a proper IA function as IA acts as their eyes and ears, checking regularly on the companies to ensure it is operating in the most effective manner with minimal wastage.

In preparation for the new season of Annual General Meetings (AGMs), Asia Centre of Excellence for IA (ACEIA) presents the "Shareholders' Guide to Assurance", a handy guide for shareholders on the questions to ask their companies at AGMs on IA.

A company with an effective and well-resourced IA function gives assurance to investors and shareholders that management values good corporate governance. Asia Centre of Excellence for IA (ACEIA) sets out 4 aspects of an effective and well-resourced IA function based on the Singapore Code of Corporate Governance and the Guidebook on Audit Committees in Singapore:

  1. Listed companies should have an IA function
  2. ​The IA function should be independent of the activities it audits
  3. The IA function should be well-resourced
  4. The IA function should be staffed with persons with the relevant qualifications

Read more on the Shareholders' Guide

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