Triodos Bank’s Executive Board provides a perspective on the wider world it operates in, its impact and activity in 2017 and its prospects for the future.
Triodos Bank defines business risk as the risk caused by changes in external factors like competitive relationships, stakeholders, reputation and business climate. Strategic risk is caused by internal factors within the organisation. Business risk arises outside of the organisation. Given that both risks can affect the organisation’s ability to achieve its overall objectives, they are managed together as described under strategic risk.
Financial reporting risk
Triodos Bank is subject to financial reporting risk which is mainly related to estimates and assumptions applied as further disclosed in the financial statements on page 87.
Triodos Bank is subject to international tax risks because it operates in several European countries. These risks are managed by a framework of tax controls underpinned by close cooperation between head office and the Triodos Bank branches.