5.6 Combined committees

In accordance with Article 76(3) of Directive 2013/36/EU, competent authorities may allow institutions that are not considered significant to combine the risk committee with, where established, the audit committee as referred to in Article 39 of Directive 2006/43/EC.

Where risk and nomination committees are established in non-significant institutions, they may combine the committees. If they do so, those institutions should document the reasons why they have chosen to combine the committees and how the approach achieves the objectives of the committees.

Institutions should at all times ensure that the members of a combined committee possess, individually and collectively, the necessary knowledge, skills and expertise to fully understand the duties to be performed by the combined committee²⁸ .

²⁸ See also the joint ESMA and EBA guidelines on the assessment of the suitability of members of the management body and key function holders under Directive 2013/36/EU and Directive 2014/65/EU.