(1) The Governing Body of an Authorised Person must ensure that the Remuneration structure and strategy of that Authorised Person:
(a) are consistent with the business objectives and strategies and the identified risk parameters within which the Authorised Person's business is to be conducted;
(b) provide for effective alignment of risk outcomes and the roles and functions of the Employees, taking account of:
(i) the nature of the roles and functions of the relevant Employees; and
(ii) whether the actions of the Employees may expose the Authorised Person to unacceptable financial, reputational and other risks;
(c) at a minimum, include the members of its Governing Body, the senior management, Persons Undertaking Key Control Functions and any Major Risk-Taking Employees; and
(d) are implemented and monitored to ensure that they operate, on an on-going basis, effectively and as intended.
(2) The Governing Body must provide to the Regulator and relevant stakeholders sufficient information about its Remuneration structure and strategies to demonstrate that such structure and strategies meet the requirements in (1) on an on-going basis.
(3) For the purposes of this Rule, "Major Risk-Taking Employees" are Employees whose actions have a material impact on the risk exposure of the Authorised Person.