address regulatory arbitrage from group activities and ensure effective supervision of group risks; and

ensure that supervision has proper regard to all entities which may affect the overall risk profile and financial position of the group or the individual entities within the group.

balance the interests of shareholders, entities within the group and the conglomerate;

take into consideration the interests of policyholders and other recognised stakeholders of the conglomerate and the financial soundness of entities in the conglomerate;

have adequate policies and processes to manage intra-group conflicts and conflicts of interest;

have a risk management framework, an internal control system, an internal audit function and a compliance function;

have a code of ethical conduct and ensure that the group conducts its affairs with a high degree of integrity; and

address the following issues—

develop and implement a remuneration policy which shall be overseen by the parent company; and

ensure that the management of the risks associated with remuneration arrangements is addressed by the financial conglomerate's risk management framework.

exercise adequate oversight of its regulated and unregulated subsidiaries;

define the strategy and risk appetite of the financial conglomerate and ensure that the strategy is implemented in the entities comprising the parent company or financial conglomerate;

provide relevant information on the strategy, risk appetite and corporate governance framework of the financial conglomerate to the Authority;

establish a monitoring framework for compliance with the strategy and risk appetite across the financial conglomerate;

establish a corporate governance framework to ensure that the strategy is implemented, monitored, and reviewed at least once in every three years; and

establish a system for financial reporting that meets the reporting requirements of the group, entities within the group and relevant written laws.

develop and implement a policy on related party transactions;

ensure that related party transactions are at arm's length; and

ensure integrity and transparency in respect of related party transactions.

maintain adequate capital on a group-wide basis as determined under the Act;

consider and assess the group-wide risk profile when undertaking capital management;

manage its capital through a documented process to ensure it maintains adequate capital within the group and its subsidiaries;

consider double gearing or multiple gearing when conducting capital adequacy assessment;

address excessive leverage and situations where a parent company issues debt and down-streams the proceeds in the form of equity to a subsidiary;

ensure the capital adequacy measurement techniques consider the potential for undue pressure to service debt of a parent company;

ensure that funds treated as available and included in the group-wide capital assessment should be legitimately movable within the group where necessary; and

ensure that the regulatory capital in a subsidiary and the corresponding capital requirements are calculated according to the rules applicable to the financial sector and jurisdiction in question.

establish a group-wide risk management framework;

set down in writing its group-wide risk management framework;

establish a group-level risk management function that has a direct reporting line to the board of directors; and

establish a policy for reviewing the effectiveness of the group-wide risk management framework and ensuring appropriate aggregation of risks.