Financial Management and Internal Controls

The Board reviews and approves the annual budget prepared by management.

All extra-budgetary expenditure beyond the delegated management authority is reviewed and approved by the Board and the operating and capital expenditure budget is regularly monitored.

NKF is committed to disclose audited statements which give a true and fair review of NKF’s financial statements to ensure that they are in accordance with the requirements as specified by the regulatory bodies.

NKF has a Reserve Policy to provide clarity in NKF’s management of its reserves and assure stakeholders that we are strategic in building up reserves.

The Board, in its efforts to enhance its corporate governance, appoints its members to chair the following committees:

Investment Committee

The Investment Committee manages its reserves in strict accordance to the investment policy to meet the investment objectives of the foundation, with a contingency of the appointment of external fund managers if deemed necessary.

Finance Committee

The Finance Committee regularly reviews the financial performance of NKF to ascertain the purpose, amount and planned timing of use for restricted funds.

Tender Committee

The Tender Committee supports and advises the Finance Committee on the procurement process to help ensure cost efficiency and independently evaluates the tenders submitted for each purchase in excess of $500,000.

Audit and Risk Committee

The Audit and Risk Committee serves as an independent and objective party to review the integrity of financial information and ensures the efficiency and effectiveness of NKF’s material and operational compliance with regulatory requirements, policies and procedures.

In addition to NKF’s external auditor, RSM Chio Lim LLP, Public Accountants and Chartered Accountants, NKF also appoints Baker Tilly as its internal auditor to review its internal controls and risk management processes on a regular basis.