Investor Presentaiton

Macquarie | Presentation to Investors and Analysts I macquarie.com Overview of Macquarie Operating Groups 3Q20 Update Outlook Appendix Macquarie's approach to risk management Strong focus on business accountability and risk ownership Stable and robust core risk management principles Supported by our longstanding approach to establishing and maintaining an appropriate risk culture Ownership of risk at the business level Understanding worst case outcomes O MACQUARIE Our approach is consistent with the 'three lines of defence' model with clear accountability for risk management The three lines of defence model, which is a widely adopted standard across the industry, sets risk ownership responsibilities functionally independent from oversight and assurance. Line 1 Line 2 Independent sign-off by Risk Management Group Line 3 Primary responsibility for risk management lies with the business. The Risk Management Group (RMG) forms the second line of defence and independently assesses material risks. Internal Audit provides independent and objective risk-based assurance on the compliance with, and effectiveness of, Macquarie's financial and risk management framework. Principles stable for 30+ years 24 14

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