As regulators increase the focus on senior manager, executive and non-executive director accountability across all parts of financial services, the expectations of stakeholders on Internal Audit (IA) are increasing. This is evidenced in part by PwC's 2017 State of the Profession Survey, where 48% of IA’s stakeholders want IA to be trusted advisors, but only 9% of respondents consider IA to be there. In addition, year-on-year survey results show that there is a 10% drop in stakeholders who believe that IA are adding significant value (44% in 2017).
So how does IA keep pace in adding value to its stakeholders? It’s all about being relevant to the business and providing valuable insights. This requires three actions from IA:
The risk assessment process, and ongoing monitoring of emerging / changing risk, is critical to ensuring that IA’s plan is focused on the areas that will add real value to its stakeholders.
This paper seeks to provide you with PwC’s view on the market issues impacting on the Insurance and Asset & Wealth Management sectors in 2018 to support your own risk assessment process.