What is Governance & Risk Management Audit for an AEMI?

It’s an audit that evaluates how well the governance structure, risk framework, internal controls, policies and escalation processes are designed and operating within an Authorised Electronic Money Institution.

Why is a strong governance structure important for AEMIs?

Strong governance ensures accountability, oversight, regulatory compliance, clear reporting lines, and robust risk supervision, which help prevent compliance failures and regulatory risk.

How does the risk framework assessment work?

It involves identifying and assessing risks in different areas (financial crime, operations, reputation, compliance), reviewing mitigation controls, and ensuring the risk environment is well-monitored and governed.

What happens during internal control testing?

Internal controls are tested through sampling, observation, reviewing documentation, verifying who has authority in certain areas, ensuring separation of duties and oversight are properly functioning.

What is the value of a gap identification & remediation roadmap?

A gap identification process highlights where practices fall short of regulatory or best practice expectations, and the remediation roadmap provides structured steps, timelines, and responsibility assignment to improve governance and risk management.

Governance Risk Audit | AEMI Compliance & Oversight

Governance & Risk Management Audit

Effective governance and robust risk management are critical for Authorised Electronic Money Institutions (AEMIs) to ensure operational resilience, regulatory compliance, and stakeholder confidence. ABM Global provides a thorough, independent review of your governance frameworks, decision-making structures, and risk management protocols, helping your firm strengthen oversight, accountability, and strategic risk mitigation.

Board Oversight & Responsibilities

ABM evaluates the roles, responsibilities, and effectiveness of your board of directors, ensuring clear accountability and alignment with FCA expectations and the Senior Managers & Certification Regime (SM&CR). We review decision-making processes, delegation structures, and reporting lines to ensure that strategic and operational decisions are informed, documented, and compliant.

Committee Operations & Internal Controls

Our audit assesses the operation of key committees—such as risk, audit, and compliance committees—to verify that they are effective in identifying, monitoring, and managing risks. We evaluate the adequacy of internal control frameworks, escalation procedures, and reporting mechanisms, ensuring that risks are proactively managed and operational gaps are addressed promptly.

Risk Appetite & Framework Evaluation

ABM examines your firm’s risk appetite statements, risk assessment protocols, and risk management frameworks to determine whether they are appropriately aligned with business objectives and regulatory requirements. We assess the identification, measurement, monitoring, and mitigation of operational, financial, and compliance risks, providing insights into areas requiring improvement.

Policy & Procedure Alignment

We review governance policies, including delegation authorities, code of conduct, and operational guidelines, to ensure consistency with regulatory expectations and best practices. Recommendations are provided to strengthen governance documentation, clarify responsibilities, and enhance operational resilience.

Gap Analysis & Recommendations

Our team identifies gaps or weaknesses in governance, risk management, or internal controls, providing actionable recommendations to enhance accountability, oversight, and decision-making effectiveness. This includes improvements to risk frameworks, reporting structures, and strategic monitoring processes.

Regulatory Inspection Preparedness

ABM prepares your institution for regulatory reviews or internal audits by evaluating board and committee documentation, providing mock inspections, and advising senior management on presenting governance and risk management practices confidently to regulators. This ensures your AEMI demonstrates a strong governance culture and operational resilience to the FCA and other stakeholders.