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Fiduciary Duties and Conflict of Interest - Fiduciary duties of the bank as trustee and executor are both at the core of the banks responsibilities to its clients as well as a primary risk to the bank.
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Regulatory Requirements and Compliance - Compliance is the key risk in all trust departments. Lack of compliance may lead to litigation, fines and penalties.
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Risk Assessment and Planning the Audit - Proper planning ensures the auditor’s goals and objectives are met.
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Trust Operations and Internal Controls - An effective system of controls is imperative to properly perform the duties of the trust department.
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Fiduciary Investments - Appropriate investment management is central to the fiduciary duties of the trustee.
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Physical Security and Controls over Trust Assets - Key internal controls over assets held at other locations, safekeeping arrangements and audit controls.
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Fraud Detection - Understand responsibilities in identifying and detecting fraud.
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Administrative Audits - This audit is key to understanding account management. Look at potential “red flags” that may create a problem.
