GRC Report Staff

For years, model risk management inside financial institutions followed a fairly predictable rhythm. Models were reviewed periodically. Validators examined assumptions, tested outcomes, checked documentation, and challenged methodologies that were generally understandable to humans. The systems themselves, while complex at times, were still built on structures that could usually be traced, interpreted, and explained.

In a statement released Tuesday, ESMA published the results of a Common Supervisory Action examining how investment firms and credit institutions have integrated sustainability considerations into suitability assessments and product governance frameworks under MiFID II. The review, conducted alongside national competent authorities throughout 2024 and 2025, paints a picture of an industry still working through the practical realities of embedding ESG preferences into investment advice.

The Office for the Protection of Competition has fined HP Tronic approximately $1.7 million (CZK 38,971,000) for entering into prohibited agreements that restricted competition across the household appliances and electronics sector, according to a decision announced Tuesday.

European Union lawmakers reached a provisional agreement early Thursday on a new package of amendments to the bloc’s sweeping AI Act, striking a compromise designed to ease compliance burdens for businesses while tightening restrictions on some of the most controversial uses of artificial intelligence.

A suspected cyberattack involving the widely used learning platform Canvas is drawing growing scrutiny from privacy regulators after universities and college campuses in Norway began reporting potential exposure of student and institutional data linked to the incident.

The United Arab Emirates is tightening coordination between its financial regulators and audit overseers, launching a first-of-its-kind joint inspection initiative that authorities say is designed to strengthen confidence in the country’s capital markets and corporate reporting environment.

The European Commission is moving to scale back the complexity of the EU’s sustainability reporting regime, unveiling proposed revisions to the European Sustainability Reporting Standards that officials say will sharply reduce compliance burdens for businesses without dismantling the broader goals of the Corporate Sustainability Reporting Directive.