✨ Risk Management Policies
992
NEW ZEALAND GAZETTE, No. 40
27 FEBRUARY 2008
1
Categories of risk
Clause 2 applies to the following categories of risk:
(a) credit risk, including concentrations of credit risk, intraday credit risk, credit risk to bank counterparties and related party credit risk:
(b) currency risk:
(c) interest rate risk:
(d) equity risk:
(e) liquidity risk:
(f) operational risk:
(g) any other material risk to which the banking group is exposed.
2
(1) Information about risk
A general description of the banking group’s risk management objectives, policies, strategies and processes, to the extent not otherwise disclosed to comply with paragraph 33 of NZ IFRS 7.
The following information in respect of each of the categories of risk set out in clause 1, to the extent not otherwise disclosed to comply with paragraph 33 of NZ IFRS 7:
(a) an explanation of the nature of the risk and the activities of the banking group which give rise to that risk:
(b) an explanation of the structure and organisation of the relevant risk management function:
(c) a general description of the relevant processes for identifying, measuring and monitoring exposure to the risk, including the frequency with which exposures are monitored and reported:
(d) a general description of the systems and procedures for controlling the risk, including (if applicable)—
(i) whether exposure limits are employed; and
(ii) any policies with respect to collateral or other security; and
(iii) any policies on the use of financial instruments to mitigate or hedge risks; and
(iv) strategies and processes for monitoring the continuing effectiveness of hedges and other mitigants.
(2)
3
Capital Adequacy
A summary discussion of the following matters, to the extent not otherwise disclosed to comply with paragraph 124A of NZ IAS 1:
(a) the banking group’s approach to assessing the adequacy of its capital to support current and future activities; and
(b) the role that directors and senior management take in the capital management process.
4
Reviews of banking group’s risk management systems
A statement as to—
(a) the nature and frequency of any reviews conducted in respect of the banking group’s risk management systems; and
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2008, No 40
Gazette.govt.nz —
NZ Gazette 2008, No 40
✨ LLM interpretation of page content
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Schedule 9: Risk management policies
(continued from previous page)
💰 Finance & RevenueRisk management, Categories of risk, Credit risk, Currency risk, Interest rate risk, Equity risk, Liquidity risk, Operational risk, Banking group, Capital adequacy, Risk management systems