An overseas investment firm licensee may establish a risk management function commensurate with the nature, scale and complexity of its business. The risk management function may be combined with another function. The CBB will consider an overseas investment firm licensee not having a local risk management function, provided that it seeks CBB's approval to outsource this function to its Head Office, in accordance with Section RM-7.3 (Intra-group Outsourcing). In such case, the CBB must be satisfied that equivalent arrangements to those contained in this Module are in place at the Head Office level, and that such arrangements would entail effective risk management of activities conducted by the overseas investment firm licensee.