What must a compliance program include according to recent regulatory standards?

A compliance program, according to recent regulatory standards, must encompass a comprehensive framework that includes written policies, oversight by management, ongoing training, and regular audits. This multi-faceted approach ensures that the institution adheres to regulations, minimizes risks, and fosters a culture of compliance throughout the organization.

Written policies serve as the foundation for the compliance program, providing clear guidelines and procedures that outline expected behaviors and regulatory requirements. Oversight by management is crucial as it demonstrates leadership's commitment to compliance and accountability, ensuring that policies are effectively implemented and monitored.

Ongoing training is essential for staff at all levels, as it equips them with the knowledge and skills necessary to recognize compliance issues and understand their role in the compliance framework. Regular audits further reinforce the program’s effectiveness by identifying areas for improvement, evaluating adherence to policies, and ensuring that the organization is not only following regulations but also fostering a proactive compliance environment.

Including these elements aligns with regulatory expectations and helps maintain a strong compliance culture, ultimately protecting the organization from legal and reputational risks.