Pre-trade Risk Management
- · The risk control department operates independently and reports directly to the Company's Management Committee
- · We develop and follow stringent risk control systems and processes
- · Continuous monitoring strategy performance, when the strategy decays occurs to optimize or stop trading, to avoid or reduce the strategy of loss
Pre-trade Risk Management
Trading Risk Management
Trading Risk Management
- · IT and risk control department real-time monitoring trading system, risk control system operation,
To guarantee the smooth implementation of the trading and the implementation of risk control
- · All trading orders are audited by the risk control system before issued to the trading execution system to ensure that all rules and indicators of risk control are strictly regulated
Post Trade Risk Managment
- · GF has sound contingency plans for risk control in response to unexpected events
- · For the strategy to trigger the rules of the risk control system, the system automatically limits the trading and immediately alarms to the risk control department
- · The risk control department will transfer the strategies which be restricted trading to the research department to follow up
Post Trade Risk Managment
- Tier1
Pre-emptive
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Dynamic capital allocation ranks units&allocates capital accordingly Risk is therefore
spread across systems, markets and time frames Position sizing takes account of volatility,gap risk liquidity,stop loss levels
- Tiper 2
Position and sector
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Individual positions and sector coneentrations are monitored and re-evaluated daily and
readjusted if portfolio has departed from optimum Stop losses and profit targets are used systematically
- Tiper 3
Porfolio levelPoftfolio level
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Initial margin usage,daily volatility,gap risk,correlation risk are monitored to ensure
the portfolio characteristics are balanced Discretion can be used by the Portfolio Manager if required
