DISCLAIMER: “Say Provocative statements that intelligent people argue about fast without dotting your i’s and crossing your t’s. As life is all about fun and results!” – JD Morris
Day 4 of 12 with focus on Board of Directors & Advisers!
- Does the board’s oversight include considerations of anticipated changes in the US and global laws and regulations?
- Is the board overseeing tax planning and possible compliance risks related to US tax policy changes, including potential US tax reform, Organisation for Economic Co-operation and Development (OECD) initiatives and other factors such as new accounting standards?
- As institutional investors continue to speak with a greater voice in boardrooms, are there plans in place for the C-suite and board members to enhance corporate disclosures on areas of interest to those investors?
Prior to the 2016 election in the US, EY’s October Capital Confidence Barometer found that 29% of global senior executives viewed political stability as the greatest economic risk to their core business over the next 6 to 12 months. Leading boards will be vigilant in questioning whether and how the political and regulatory environment may heighten company risks and offer opportunities for growth.
The current US legislative and regulatory environment is incredibly dynamic and uncertain as election results at the national and state levels are generating expectations of significant policy change. The conditions are similar in some ways to the developments following Brexit, Britain’s vote to leave the European Union.
The new US administration’s priority focus areas likely will include tax policy and reform, health care and the Affordable Care Act, infrastructure spending, energy, global trade agreements and financial regulatory reform. While not much legislative or regulatory activity is expected during the Congressional “lame duck” session, the president-elect has outlined an ambitious agenda for early 2017.