Oakley is committed to maintaining robust risk management practices that empower the Board to make informed decisions and effectively manage both known and emerging risks. This commitment is integral to achieving strategic objectives, particularly as the firm operates across multiple jurisdictions in a dynamic and highly regulated economic landscape.

A clear governance structure is in place, with accountability assigned at every level. The Board holds ultimate responsibility for managing the business’s risk exposure, supported by the Group Risk Committee (GRC), an executive-level body tasked with designing and implementing the risk management framework across the Group. Effective risk oversight is critical, and regular communication between the Board and the GRC ensures that risk management is embedded in decision-making processes. Oakley operates with three layers of control: operational management, which is responsible for the day-to-day ownership and management of risks and controls; internal monitoring and oversight functions, including risk management and compliance; and periodic external reviews, which provide independent assurance and evaluation of Oakley’s risk management framework.

An Enterprise Risk Management System provides a centralised and consistent approach to identifying, assessing and monitoring risks across the Group. Insights from each quarterly risk assessment are systematically integrated, ensuring that risk assessments evolve in response to emerging issues, changes in the operating environment and lessons learned. The scope of risks tracked is regularly reviewed and refined, with sustainability risks, including physical and transition climate risks, embedded within the system. This enables sustainability risks to be assessed, monitored and reported alongside other principal risks, providing the Board with enhanced visibility into the Group’s risk profile and greater oversight of control effectiveness.

Oakley’s risk management framework is designed to identify, assess and measure risks while developing practical strategies to mitigate them and maximise potential opportunities. It is underpinned by a robust risk appetite statement, policies, procedures, and a regularly updated risk register which is reviewed and approved by the GRC. A dedicated team of highly qualified risk management professionals continually enhances the framework, leveraging tools such as stress testing, scenario analysis, resilience programmes, key risk indicators, horizon scanning and risk-event analysis over the portfolio companies. The GRC assesses factors affecting each principal risk, liaising with executive committees and functions before summarising risk profiles in regular reports for Board review.

This framework is refreshed through quarterly risk assessments and ongoing review of the risk register and key controls, helping ensure Board reporting remains focused on the most material exposures. This includes maintaining an emphasis on periodic evaluation of key controls to support clearer visibility of residual risk exposures, as well as exploring opportunities to further improve the consistency, timeliness and accessibility of risk information over time. Oakley also continues to consider enhancements to its stress-testing and scenario analysis capabilities across funds and portfolio companies, to deepen understanding of potential adverse outcomes across key market and liquidity risks and to support resilience in a changing operating environment.