Governance

The Finnish Companies Act requires that every Finnish limited liability company has its own Articles of Association. The Articles of Association define, among other things, the business area of the company and the scopes of competences and general principles of division of powers between key corporate organs (i.e. General Meeting, Board of Directors and Managing Director).

Sampo Group's general governance is built on an operation model where Sampo plc, as the parent company of the Group, provides subsidiaries with a framework of general principles within which the parent company expects the subsidiaries to organise and carry out their businesses. These principles are manifested in Sampo Group's Code of Conduct, Risk Management Principles, Remuneration Principles and Compliance Principles, which form the core of Sampo Group's internal governance framework.

On the basis of and in compliance with the groupwide framework, each subsidiary  defines and implements a company specific governance and risk management framework (including e.g. capitalisation targets, profit targets, authorisations with risk limits, remuneration policies and other guidelines and instructions), which steers, limits and controls all operations, especially risk taking. 

Sampo complies, in full, with the Finnish Corporate Governance Code 2020 approved by the Securities Market Association on 19 September 2019, which became effective from 1 January 2020 (the “CG Code”). The Remuneration Report prepared in accordance with the new CG Code was published first time for the financial year starting on 1 January 2020.