Overview
The Prudential Standard CPS 510 Governance establishes the roles and responsibilities of boards of APRA-regulated entities in overseeing the management of prudential risks. It outlines specific governance requirements, including board composition, independence, audit committee responsibilities, and risk management oversight. The standard aims to ensure that sound governance supports the financial safety and stability of regulated entities and their stakeholders. Key elements include setting expectations for the structure and functioning of boards, the role of the board in risk culture, and the engagement with external auditors.