King IV Report on Corporate Governance
Key words/concepts to look out for:
Comment on both the positives and negatives with regards to the
Critically assess
application of the governance principles!
Comment only on the areas where King IV is not applied
Concerns
properly/sufficiently – negatives.
Discuss your
concerns in terms
No additional guidance as to which aspects of Corporate
of XYZ Ltd.’s
Governance is to be discussed. Use the Company’s Act and the
application of
King IV report to answer this question.
Corporate
Governance
Application of
Corporate
Additional guidance is given! Only use King IV to answer this
Governance in
question.
terms of the King IV
report.
1. If a company has a bad corporate governance structure,
chances are:
→ They don’t have a competent company secretary;
Back pocket marks → They don’t perform performance evaluations (case 7.9:
High level thinking
Part B, number 7).
*disclaimer*
2. If a company does not have sufficient independent, non-
executive members:
→ What will the composition of the audit committee look like?
Annual Financial
Approved by the shareholders and not the board.
Statements
Managing Director AKA as the company CEO.
Subsidiary This is a group – links with Companies Act.
Independence If not stated, must evaluate with given info if possible.
King IV is not descriptive regarding this issue, but will the board
Board meetings be able to execute its duties effectively if they only meet twice a
year? 4 Times a year is a good amount.
Committee
Twice a year is a good amount.
meetings
Ltd. companies Limited ≠ listed! Listed = limited!
JSE listed
King IV application is a listing requirement.
companies
***Notes to be studied in conjunction with EACG2708’s notes on King IV’s recommended principles of
Corporate Governance.
, Format of information: *disclaimer*
The abovementioned information represents the only description of activities –
safe to assume that if it’s not disclosed, it’s not done.
Minutes of
Feedback, discussions and decisions made.
meetings
Integrated
Look specifically at board composition and disclosures.
report
Working paper Should be complete…
Email General info that’s not necessarily factual or complete.
General info Any type of information. Stick only to the given information.
Set of complete facts. If something is not mentioned, it’s not
Report
done.
Charter Composition, duties and reporting duties.
Quick recap!
Key words/concepts to look out for:
Comment on both the positives and negatives with regards to the
Critically assess
application of the governance principles!
Comment only on the areas where King IV is not applied
Concerns
properly/sufficiently – negatives.
Discuss your
concerns in terms
No additional guidance as to which aspects of Corporate
of XYZ Ltd.’s
Governance is to be discussed. Use the Company’s Act and the
application of
King IV report to answer this question.
Corporate
Governance
Application of
Corporate
Additional guidance is given! Only use King IV to answer this
Governance in
question.
terms of the King IV
report.
1. If a company has a bad corporate governance structure,
chances are:
→ They don’t have a competent company secretary;
Back pocket marks → They don’t perform performance evaluations (case 7.9:
High level thinking
Part B, number 7).
*disclaimer*
2. If a company does not have sufficient independent, non-
executive members:
→ What will the composition of the audit committee look like?
Annual Financial
Approved by the shareholders and not the board.
Statements
Managing Director AKA as the company CEO.
Subsidiary This is a group – links with Companies Act.
Independence If not stated, must evaluate with given info if possible.
King IV is not descriptive regarding this issue, but will the board
Board meetings be able to execute its duties effectively if they only meet twice a
year? 4 Times a year is a good amount.
Committee
Twice a year is a good amount.
meetings
Ltd. companies Limited ≠ listed! Listed = limited!
JSE listed
King IV application is a listing requirement.
companies
***Notes to be studied in conjunction with EACG2708’s notes on King IV’s recommended principles of
Corporate Governance.
, Format of information: *disclaimer*
The abovementioned information represents the only description of activities –
safe to assume that if it’s not disclosed, it’s not done.
Minutes of
Feedback, discussions and decisions made.
meetings
Integrated
Look specifically at board composition and disclosures.
report
Working paper Should be complete…
Email General info that’s not necessarily factual or complete.
General info Any type of information. Stick only to the given information.
Set of complete facts. If something is not mentioned, it’s not
Report
done.
Charter Composition, duties and reporting duties.
Quick recap!
