CMVM Strengthens supervision to ensure audit quality in Portugal
Throughout 2024, the Portuguese Securities Market Commission (CMVM) significantly intensified its supervisory activity in the audit sector, launching 52 new initiatives aimed at improving the quality and integrity of professional practices. This increased scrutiny reflects growing regulatory pressure to ensure transparency, reliability, and rigor in the financial information provided to the market. Statutory auditors play an increasingly critical role in ensuring that investors and stakeholders can trust financial reports and statements.
Among CMVM’s main findings, several recurring weaknesses were identified, highlighting structural and operational challenges in the auditing profession, including:
- Insufficient documentation of audit procedures, hindering verification and assessment of the work performed;
- Weaknesses in file organization and traceability of testing, compromising process transparency;
- Potential threats to auditor independence in certain contexts, which may impact the objectivity of the opinion issued;
- Deficiencies in applying professional skepticism, especially in complex, atypical, or high-risk transactions where rigorous analysis is essential.
These findings underscore the need for a technically robust approach and a strong culture of compliance and integrity within audit firms, ensuring the quality and relevance of the work delivered.
At Pontes, Baptista & Associados (PBA), we embrace these regulatory developments, continuously strengthening our internal procedures and investing in technical training to ensure that every audit is conducted with full independence and solid documentation.
In doing so, we contribute to an audit practice that delivers real value to our clients and the market, promoting sound corporate governance and trust in financial reporting.
Make an appointment
Schedule
Monday to Saturday: 8am – 6pm
Sunday: 11am – 4pm
Address
Chiado, Rua Alecrim, 26,
1st Floor, Office IV
1200 – 018 Lisbon
Portugal