Back to our approach

Corporate governance

Our Board of Directors oversees the company's management, strategy, and sustainability efforts. They regularly review sustainability initiatives, and adapt their approach as new sustainability risks and opportunities arise.




Senior Management, which is composed of the Executive Leadership Team’s direct reports, is responsible for identifying and addressing risks and opportunities relating to sustainability and incorporating those items into their respective strategies.

governance tree

01 Board expertise
Deepening board expertise

Deepening board expertise and education

The Board is comprised of individuals with diverse expertise. Our directors enhance their sustainability knowledge through continuous learning efforts and regular updates from the CEO and senior management. These include updates on the progress of our sustainability S&O metrics and various sustainability-related topics.

02 Board composition
Prioritizing strong board composition

Prioritizing strong board composition

All Directors, with the exception of the CEO, Rob Fauber, have been determined to be independent under the criteria defined in the New York Stock Exchange listing standards. For more information about the composition of our Board, see Moody’s 2025 Proxy Statement.


Board’s oversight of risks

The Board oversees the implementation of risk management policies and processes. The Audit Committee supports our company in overseeing risk assessment and management processes. Our Enterprise Risk Management (ERM) function manages risk exposures and establishes a standard, organization-wide understanding of risk management based on the 2017 COSO framework. Our Chief Risk & Resilience Officer is responsible for the ERM program, including management of risk exposure.


risk oversight


cybersecurity-related risks

Board’s oversight of cybersecurity-related risks

The Board provides oversight of management’s efforts to assess and manage cybersecurity risks and respond to cybersecurity incidents and threats. In addition, the Audit Committee regularly receives reports from management regarding Moody’s financial and compliance risks, including, but not limited to, risks relating to internal controls and cybersecurity risks. Moody’s has protocols by which certain cybersecurity concerns, incidents and threats are escalated within the company and, where appropriate, reported in a timely manner to the Board.

Climate-related risks

Board’s oversight of climate-related risks and opportunities

The Board annually reviews Moody’s risks and long-term strategic plan, both of which include sustainability-related matters, including business continuity disruptions and reputational risks. This involves the Board’s approval of Moody's Sustainability Policy and Decarbonization Plan.