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  • Systems and Controls

    • RM-1.1.6

      The risk management framework of investment firm licensees must provide for the establishment and maintenance of effective systems and controls as are appropriate to their business, so as to identify, measure, monitor and manage risks.

      Adopted: July 2007

    • RM-1.1.7

      An effective framework for risk management should include systems to identify, measure, monitor and control all major risks on an on-going basis. The risk management systems should be approved and periodically reviewed by the Board as outlined in HC-1.2.10.

      Amended: January 2016
      Adopted: July 2007

    • RM-1.1.8

      The systems and controls required by RM-1.1.6 must be proportionate to the nature, scale and complexity of the firm's activities.

      Adopted: July 2007

    • RM-1.1.9

      The processes and systems required must enable the licensee to identify the major sources of risk to its ability to meet its liabilities as they fall due, including the major sources of risk in each of the following Categories:

      (a) Counterparty risk;
      (b) Market risk;
      (c) Liquidity risk;
      (d) Operational risk; and
      (e) Derivative Transactions Risk;
      (f) Outsourcing Risk;
      (g) Group Risk; and
      (h) Any additional categories relevant to its business.
      Amended: January 2016
      Adopted: July 2007