Forum of Firms

What it reported doing in 2024

Hybrid meetings: the fof has meetings at different jurisdictional levels. For 2024 all six fof meetings (3 x global, 2 x regional and 1 x country) were hybrid. Having hybrid supports our public interest commitment to make the audit quality learning opportunities from fof events as widely available across the diverse fof membership. A fully virtual 'tac only' meeting dealing with tac (the tac is the fof board) nominations to the international auditing & assurance standards board (iaasb) and international ethics standards board for accountants (iesba) occurred in january. As alluded to, in 2024, the fof held 3 hybrid global meetings involving the entire fof membership as follows: april 22 to 24 - singapore (3 days) june 25 to 27 New York (3 days) november 4 to 6 and 8 paris (4 days) country/regional audit quality meetings/events: in addition to our global meetings, for 2024, we increased the amount of 'regional or 'country' meeting activity with, in may, a full day audit quality event in bogota, colombia, with further full day audit quality events in both dubai, uae (october) and delhi, india (november). Both bogota and dubai were complimented by separate related events hosted by the international federation of accountants (ifac see more below). The fof supports continued 'regional or 'country' activity with a view to further collaborating with ifac where mutually beneficial offering opportunity for a powerful package of professional development for professional accountants in support of the fof's public interest objective. Collaboration with ifac in support of audit quality: the fof actively collaborated with ifac where possible when organizing its 6 meeting and events described above. Having meeting events which are adjacent to related ifac meetings/event offered an improved opportunity for professional development for fof members this collaboration included: fof q1 2024 global meeting held adjacent to the ifac asia-pacific sustainability exchange singapore fof regional audit quality event in bogota (may 7) held adjacent to the ifac latam forum (may 8-9) fof regional audit quality event in dubai (october 23) held adjacent to the ifac- eaaa sustainability conference in the middle east and north africa accounting and financial reporting fof q4 2024 global meeting in paris to be adjacent to ifac council meeting fof community: a key strength of the fof is the sense of 'community' we continually endeavor to foster. We support this by creating inclusive agendas for the meetings/events described above guided in development by 'planning committees' whose composition reflects the nature of the audience to which the event is aiming to support. Further, we offer meeting environments which encourage open and honest engagement a 'safe space' where both fof members and stakeholders can have honest and frank dialogue on the topics of key importance to the profession in supporting audit quality. The ability to offer virtual attendance at fof meetings has vastly increased the extent of registered attendance and ability to further support aduit quality agenda planning: a priority was continuing to ensure all fof meeting agendas were 'relevant' underpinned by comprehensive engagement with stakeholders from across the audit quality eco-system in support of the public interest. In the development of all agendas and resources/tools, significant consideration is given to ensuring the issues and challenges being experienced by both large and smaller member fof members firms are taken into consideration. Stakeholder we engaged with in 2024 included: o engagement across the international standard setting community european financial reporting advisory group efrag global reporting initiative gri international accounting standards board iasb international auditing & assurance standards board iaasb international ethics standards board for accountants iesba international financial reporting for non-profit organisations ifr4npo international public sector a

Financial Efficiency

• Mission deployment rate: Limited
• Program expense ratio: Limited
• Fundraising efficiency: Limited

Transparency & Controls

• Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
• Pay-setting controls: 0 of 6 controls in place; rating input score 0
  • Compensation committee: Missing
  • Independent consultant: Missing
  • Other Form 990s reviewed: Missing
  • Written employment contract: Missing
  • Compensation survey or study: Missing
  • Board or committee approval: Missing
• Foreign activity oversight: Limited
• Grant itemization coverage: Limited
• Major donor itemization: Limited
• Related-party transparency: Limited

Accountability

• Independent voting board: 100%; rating input score 100; 66th percentile among comparable filings
• Governance controls: 3 of 8 controls in place; rating input score 38
  • Conflict-of-interest policy: Fail
  • Whistleblower policy: Fail
  • Document-retention policy: Fail
  • CEO compensation review process: NotApplicable
  • Other executive compensation review process: Fail
  • Form 990 shared with the board: Fail
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: -0.3%; rating input score 29; 29th percentile among comparable filings
• Total-asset coverage ratio: 0.34; rating input score 9; 9th percentile among comparable filings
• Liabilities to assets ratio: 0.79; rating input score 14; 14th percentile among comparable filings
• Officer compensation ratio: 0.3%; rating input score 91; 91st percentile among comparable filings

Growth

• Program expense growth: Limited
• Revenue growth: 5.3% per year; rating input score 100; 46th percentile among comparable filings
• Asset growth: 13.8% per year; rating input score 100; 78th percentile among comparable filings