(1) An Authorised Person must ensure that its Governing Body is responsible for monitoring the nature and level of Liquidity Risk assumed by the Authorised Person and the process used to manage that risk.
(2) Without limiting the operation of (1), the responsibilities of an Authorised Person's Governing Body in respect of Liquidity Risk include:
(a) approving the statement of the Authorised Person's Liquidity Risk strategy;
(b) establishing and maintaining a senior management structure with clearly defined responsibilities and roles for the management of Liquidity Risk and for ensuring compliance with the Authorised Person's Risk strategy;
(c) ensuring the senior management in (b) and other relevant personnel have the necessary experience to manage Liquidity Risk;
(d) monitoring the Authorised Person's overall Liquidity Risk profile on a regular basis and being aware of any material changes in the Authorised Person's current or prospective Liquidity Risk profile;
(e) ensuring that Liquidity Risk is adequately identified, assessed, mitigated, controlled and monitored in accordance with the Authorised Person's Liquidity Risk tolerance and strategy;
(f) ensuring that the Liquidity Risk tolerance and strategy is documented; and
(g) ensuring that the Liquidity Risk tolerance and strategy is reviewed at least annually.