Guarding integrity: Why independent oversight matters

Alessandro Carretta, Member of EMMI’s
Conflicts of Interest Oversight Committee

Conflicts of interest are a reality for any organisation. Managing them effectively is essential to maintaining confidence and integrity. Lieve Lowet, Chair of EMMI’s Conflicts of Interest Oversight Committee (COIC), and Alessandro Carretta, Committee member, share their perspectives on the role of independent oversight and why governance matters in practice. 

Most organisations have policies to manage conflicts of interest. Far fewer have a dedicated committee responsible for overseeing them. 

EMMI’s Conflicts of Interest Oversight Committee brings together independent experts with complementary backgrounds to strengthen oversight and support sound decision-making. 

The Committee is chaired by Lieve Lowet, a specialist in European financial regulation and public affairs. She works alongside fellow Committee members Alessandro Carretta, Professor of Economics and Management of Financial Institutions at the University of Rome Tor Vergata, and Thomas Faelli, a lawyer specialising in financial regulation and compliance. 

Why independent oversight matters 

For Lieve, the importance of conflicts of interest management is closely linked to credibility. 

“Unidentified or unmanaged conflicts of interest tarnish the reputation of an organisation,” she explains. “In the case of EMMI, which is an authorised critical benchmark administrator, a high level of institutional integrity is crucial for trust in the euro money markets.” 

The role of the Committee is to provide independent oversight of EMMI’s framework for identifying, preventing, managing and mitigating conflicts of interest. 

“Independence is obviously a crucial precondition for the COIC,” says Lieve. 

By bringing an independent perspective to governance discussions, the Committee helps reinforce confidence in EMMI’s decision-making processes. 

Beyond rules and procedures 

For Alessandro, effective oversight goes beyond compliance. 

“Oversight becomes effective and credible when it goes beyond simply checking the box of legal requirements,” he says. “It should encourage stakeholders to consider actual, potential and perceived conflicts of interest.” 

This reflects a broader evolution in governance thinking. 

“From simply ensuring the adequacy of regulations, governance has become a stimulus for good behaviour within organisations,” Alessandro explains. “The focus is no longer ‘I have done what the regulations require’, but rather ‘I have done everything necessary to achieve organisational and individual goals responsibly.’” 

In this context, governance is not only about procedures. It is also about encouraging sound judgement and responsible behaviour in day-to-day decision-making. 

A practical approach to governance 

Both interviewees highlight the importance of applying governance principles in a practical and proportionate way. 

Drawing on her experience in financial regulation, Lieve points to the importance of proportionality when assessing risks and implementing oversight measures. 

Alessandro highlights another important aspect: corporate culture. 

“Corporate culture is a powerful mechanism for guiding behaviour within organisations, including in relation to conflicts of interest,” he says. 

Together, these perspectives illustrate how effective oversight relies on more than rules alone. It combines independent oversight, sound judgement and a culture that supports responsible decision-making. 

Maintaining confidence 

Much of the Committee’s work takes place behind the scenes. Yet its contribution is fundamental. 

By helping ensure that conflicts of interest are identified and managed appropriately, the COIC contributes to the integrity of EMMI's activities and decision-making processes. 

Ultimately, integrity depends on more than policies and procedures. It is about ensuring that those structures continue to support sound decisions, responsible behaviour and long-term confidence.