KENANGA ANNUAL REPORT 2020

58 3 1 2 4 5 6 7 HOW WE ARE GOVERNED In discharging this responsibility, the Board approves and periodically reviews the risk management capabilities of KIBB Group to ensure their ability to support KIBB Group’s business activities and any expansion thereof. It is important to emphasise that the ultimate responsibility for ensuring a sound internal control system and reviewing the effectiveness of the system lies with the Board. The Group’s inherent system of internal control is designed to manage, rather than eliminate, the risk of failure to achieve the Group’s corporate objectives, as well as, to safeguard the shareholders’ investments and the Group’s assets. The details of KIBB Group’s internal control system and risk management framework are set out in the Statement on Risk Management and Internal Control appearing on page 70 to 73 of this Annual Report. INTEGRITY IN CORPORATE REPORTING AND MEANINGFUL RELATIONSHIP WITH STAKEHOLDERS Audit Committee to Ensure Compliance with Financial Reporting Standards At the Board meetings, the Board reviews the Management’s reports on the business performance of KIBB, as well as, its major subsidiaries, associate and joint-venture companies and the analysis of the Group’s performance in comparison to the positions in the preceding month and year-to-date. The Board deliberates, and in the process, assesses the viability of business propositions and corporate proposals, and the principal risks that may have significant impact on KIBB’s business or on its financial position, as well as, the related mitigating factors. The Board aims to provide a clear, balanced and comprehensive assessment of the Group’s financial performance and prospects through the Audited Financial Statements and quarterly financial reports, as well as, through material disclosures made in accordance with the MMLR of Bursa Securities. The AC assists the Board in overseeing the integrity of the Group’s financial reporting and part of this role involves the operation of the financial reporting processes. The processes are aimed at providing the assurance that the financial statements and related notes are completed in accordance with applicable legal requirements and accounting standards and give a true and fair view of the Group’s financial positions. During the year under review, two (2) sessions between the AC and the External Auditors were held in the absence of the Management, as part of the medium for greater exchange of views and opinions between both parties in relation to financial reporting. Investor Relations and Shareholder Communications The Board is committed to providing the shareholders, investors and other stakeholders with comprehensive, timely and equal access to information on the Group’s activities to enable them to make informed investment decisions. The Group employs a wide range of communication channels such as direct communication and publication of all relevant Group information on its website at www.kenanga.com.my. The Group utilises its corporate website as a means of providing information to its shareholders and the broader investment community. KIBB Group’s corporate website provides comprehensive and easy access to the latest information about the Group. The Group’s information made available on the corporate website includes information relating to inter alia, KIBB and its subsidiaries’ corporate profiles, Board, Senior Management, corporate governance related matters such as the Board Charter, as well as, the Terms of Reference of the various Board Committees, financial reports, annual reports and corporate news. Information relating to the procedures of whistleblowing is also available on the corporate website. General Meetings In line with its digital transformation efforts, the Company has focused on the dissemination of its Annual Report via its website at https://kenanga.com.my/investor-relations/AGM2021 in order to reach a wider spectrum of shareholders who are active internet users. Shareholders are encouraged to attend the AGM and any Extraordinary General Meeting ( “EGM” ) of the Company and to use these opportunities to raise questions and vote on important matters affecting the Group, including the election of Directors, the receipt of the Audited Financial Statements, Directors’ Remuneration, Renewal of Share-Buy Back Authority, as well as, corporate proposal, if any. The External Auditors and advisers also attend the AGM and EGM and are available to answer any queries. Due to the Coronavirus Disease 2019 ( “COVID-19” ) pandemic situation and the enforcement of the MCO by the Government of Malaysia which restricted movement and mass gathering to curb the spread of COVID-19, KIBB had leveraged on technology to reach out to its shareholders by conducting its Forty-Sixth (46 th ) AGM fully virtual via live webcast and online remote voting using the Remote Participation and Voting Facilities ( “RPV Facilities” ), the services of which were rendered by KIBB’s Share Registrar, Boardroom Share Registrars Sdn Bhd ( “Boardroom” ). CORPORATE GOVERNANCE OVERV I EW STATEMENT