|The Board should present a balanced and understandable assessment of the company's performance, position and prospects.|
This Principle describes the responsibility of the Board to provide a balanced and clear assessment of the company’s performance, position and prospects to its stakeholders.
The Guidelines sets out:
- The Board’s responsibility for reporting on the company’s performance, positon and prospects (Guideline 10.1).
- The Board’s duty to ensure regulatory compliance (Guideline 10.2).
- Management duties to help the Board assess the company’s performance, position and prospects (Guideline 10.3).
The Board's responsibility to provide a balanced and understandable assessment of the company's performance, position and prospects extends to interim and other price sensitive public reports, and reports to regulators (if required).
The Board should take adequate steps to ensure compliance with legislative and regulatory requirements, including requirements under the listing rules of the securities exchange, for instance, by establishing written policies where appropriate.
Management should provide all members of the Board with management accounts and such explanation and information on a monthly basis and as the Board may require from time to time to enable the Board to make a balanced and informed assessment of the company's performance, position and prospects.