Investor Presentaiton

47 REVIEW OF PERFORMANCE AD SA Looking to the Future with Confidence Market Risk The Group's market risk management strategy and market risk limits are established within the Group Risk Appetite Statement and business strategies (taking into account macroeconomic and market conditions). Market risk limits are subject to regular review. The Group Asset Liability Committee (Group ALCO) and Group Risk Credit (GRC) are the Senior Management Committees that support the Group in managing market risk. The Group ALCO and GRC establish the market risk management policy and methodology framework governing prudent market risk-taking backed by measurement and monitoring systems and internal controls. Group ALCO and GRC are supported by the Group's Market and Treasury Credit Risk unit. It supports the Group to operationalise the market risk management framework to support business conduct while ensuring adequate risk control and oversight. Capital and Portfolio Analytics The Group Capital and Portfolio Analytics team tracks developments from the Basel Committee, the CBUAE and other regulators to implement relevant requirements for a more resilient banking platform. Group Model Validation team performs the independent validation of risk models Group-wide. It is responsible for the implementation of a robust model governance framework to manage the material portion of model risk in the Group and its ongoing use. It also leads the technical validation of the risk models and covers independent validation of the models to the Board. Group Capital Analytics is responsible for leading the exercise to assess Capital Adequacy under stress scenarios and submit reports to the CBUAE. It also conducts stress testing and International Capital Adequacy Assessment Processes activities for overseas branches and the relevant authorities in these jurisdictions. Operational Risk Group Operational Risk works closely with the Group's business lines and subsidiaries to raise awareness of operational risk. Key risks are identified and discussed at functional operational risk meetings and GRC. A process is in place for the collection and reporting of operational risk data. As part of the 'New Product and Process Approval' (NPPA), a risk review is conducted prior to the launch of any new or amended product or embedded process, as is the Operational Risk and Control Assessment (ORCA) workshops. These form the cornerstone of the Group's operational risk management activity. This embeds a risk culture across the organisation. Key Risk Indicators (KRI) LM Emirates C ETIHAD VISA Emirates NBD VIS E ΚΕ Emirates NBD and Etihad Guest collaborate to launch new co-branded credit cards Emirates NBD is first UAE banking group to publicly commit to female leadership targets, aiming for 25 percent of senior roles to be filled by women by 2027 ANNUAL REPORT 20 48

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