executes the Rabobank Group's money and capital market transactions. In addition, Rabobank
Nederland serves as the holding company of various specialised subsidiaries and also operates
its own international banking business.
Rabobank Nederland supervises the local Rabobanks pursuant to the Dutch Financial
Supervision Act - this power is provided for in the Articles of Association of Rabobank
Nederland and the local Rabobanks. For example, Rabobank Nederland supervises the local
Rabobanks in the areas of prudent and ethical business operations, outsourcing, solvency and
liquidity. Additionally, under the Dutch Financial Supervision Act, Rabobank Nederland has
been designated by the Ministry of Finance as the holder of a collective licence with respect to
business conduct supervision. This means that the Netherlands Authority for the Financial
Markets (AFM) is responsible for supervising the business conduct of local Rabobanks through
Rabobank Nederland. The cooperative local Rabobanks are also members of the cooperative
Rabobank Nederland, which gives them an important role in ensuring the proper governance
of Rabobank Nederland. A key element in this respect is the open and transparent culture, with
clear accountability in terms of management, supervision, and the assessment of both.
The influence and say of the local Rabobanks is embodied in Rabobank Nederland's two bodies:
the Central Delegates Assembly and the General Meeting.
Executive Board
The Executive Board of Rabobank Nederland is responsible for managing Rabobank Nederland.
This includes responsibility for defining and achieving the targets of Rabobank Nederland, for
determining its strategic policy and associated risk profile, for its financial results, and for the
corporate social responsibility aspects that are relevant to the business.
The Executive Board is also in charge of Rabobank Group's compliance with all relevant laws
and regulations, for managing business risks, and for the financing of Rabobank Group.
In performing its duties, the Executive Board acts in accordance with the interests of Rabobank
Nederland and its affiliated institutions, also taking into account the interests of groups of
stakeholders, such as customers and employees.The Executive Board is accountable to the
Supervisory Board, the Central Delegates Assembly and the General Meeting of Rabobank
Nederland.
The Supervisory Board appoints the members of the Executive Board for a four-year term of
service. Re-appointments are also for a term of four years.The Supervisory Board is also
competent to suspend or remove Executive Board members.
Every member of the Executive Board is thoroughly familiar with the financial sector in general
and with banking in particular, with Rabobank's role in society, and with stakeholder interests.
In addition, every Executive Board member has the in-depth knowledge that is required to be
able to form and understand the main aspects of Rabobank Nederland's overall policy and to
independently form a balanced opinion of the associated risk exposures. Each year, the members
of the Executive Board take part in a continuing professional education programme that is
specifically tailored to their needs. The Supervisory Board periodically assesses the performance
of the Executive Board, which may in some cases result in appropriate measures being taken.
On the recommendation of the Supervisory Board, the Central Delegates Assembly defines the
principles underlying the executive compensation policy.The Supervisory Board then
determines the remuneration of the individual members of the Executive Board and is
accountable for its decisions in this regard to the Committee on Confidential Matters of the
Central Delegates Assembly.
Corporate governance