Risk Management

Risk management system

  1. Ex-ante Risk Management
    Conducted by independent risk management team armed with expertise
    • Analyze risk/return measures and exposure limits regarding portfolio return/risk
    • Estimate feasible profit and loss
    • Establish long-term risk management strategy

  2. Firm-wise Risk Management & Multi-dimensional Performanc Analysis
    Risk Management throught matual feedback
    Investment Team
    • Regularly monitor risk & investment exposure
    • Manage risk adjusted performance measure
    • Analyze performance attribution to contribute stable returns
    • Analyze investment style to adhere to consistent investment principles

  3. Risk Control & Report
    Discuss main agenda in Risk Control Committee and Board Of Directors
    Risk Control Committee
    Board Of Directors
    • Analyze risk/return measures and exposure limits regarding portfolio return/risk
    • Estimate feasible profit and loss
    • Establish long-term risk management strategy

Compliance system

Investment transparency & sset quality improvement
Pre-Control & system operation
Supervision for separation of investment and trading team
Respond to changes of regulations
Constant Su.rveillance for employees
Enhance compliance training
Regular monitoring & regulation advise

Investor protection and business soundness are improved through the compliance team’s internal controls and ex-ante/ex-post compliance system.

Ex-ante Compliance

  1. Manager (order placement)
  2. Trader (order execution)

Send the approved order placements to Trader

Compliance Team (Pre-check )
Funding availabilit
Short Selling
Pre-Compliance Simulation Investment Policy (restriction etc.)
Internal Code (liquidity, Loss-cut etc.) Advanced Prevention of non-compliant trade and pursuit of fair trade
Unfair trade

Ex-post Compliance

  1. Monitoring
    • Prior asset allocation of assets under management
    • Check violations of regulations and prospectus
    • If violated, notify it to the investment team and instruct to solve the violations
  2. Investment team Submit the non-compliance statement

    Submit the statement of violation reason and solution plan and approve

  3. Check resolution of non-compliance
  4. Result Report

    Report to CEO & Board Of Directors