Principle 1 - Clarity
Every recurring counterparty must have documented purpose, defined exposure, assigned classification, and clear governance rationale.
Ambiguity is structural risk.
Principle 2 - Documentation
Memory is not governance. All assessments are recorded, structured, and refresh-dated.
Principle 3 - Threshold Discipline
Intuition does not scale. Defined thresholds transform abstract concern into enforceable procedure.
When metrics are breached, escalation is not discretionary.
Principle 4 - Role Separation
- Controller: documentation and validation.
- Investigator: enhanced review when triggers activate.
- Auditor: governance sign-off and reporting.
Separation protects objectivity.
Principle 5 - Refresh Obligation
No case remains permanently valid. All cases expire after 12 months from last completed review.
Responsibility Boundary
Varqus provides structured governance intelligence and recommendations. Final business decisions remain exclusively with the client.