The Australian Institute of Company Directors has published an article in its latest Company Director Magazine on our latest KMP Report, The Rise and Rise of Risk.
The magazine notes that the report is a “timely contribution to the growing governance debate on how best to handle risk”.
Egan Associates is pleased our report has found a broad audience. It’s important to note that risk awareness is not only about avoiding disasters but also about ensuring Boards are well enough informed to decide which risks are acceptable and indeed must be taken in order for their companies to grow.
We were interested to see a parallel viewpoint voiced strongly by Citi’s Head of Corporate and Investment Banking Tony Osmond in the Australian Financial Review on 20 May.
Osmond noted that the Australian share market had declined in value because Australian Boards were not prepared to take risks.
“In the US there has been a rapid expansion – a lot of that is driven by increased risk taking, and a risk-taking culture. Also the boom in technology stocks,” he was quoted as saying.
“There has been a loss of mojo in Australian boards. There is a conservativeness compared to what we see in the US, but also the short-termism of our funds management industry in Australia.”