Risk control encompasses the measures and methodologies employed by risk managers to eliminate or mitigate the likelihood of risk events occurring, as well as to minimize the impact or losses should such events materialize.

Risk management is intrinsically linked to the operations and growth of investment firms. The standard of risk controls has become a key measure of a modern investment firm’s core competitiveness. The primary objective of risk management is to minimize potential losses arising from risk exposure. A robust risk management framework holds strategic importance for the sustainable development of any investment company. Given the specific nature of investment activities and their underlying risk drivers, investment firms typically face the following risk categories: credit risk, market risk, operational risk, legal risk, country risk, reputation risk, and strategic risk.

Haiwan Investment has developed a comprehensive risk management system that integrates all essential components of sound risk management. Through years of hands-on experience across diverse project investments, Haiwan Investment have progressively established and refined this framework to ensure effective identification, measurement, monitoring, and control of various risks. It fully aligns with the fundamental requirements of risk management in concepts, methodologies, processes, and tools, encompassing a sound risk management structure, clearly defined risk appetite, a robust risk culture, stringent risk limits, transparent risk policies and procedures, efficient risk data and IT systems, and effective internal controls and audit mechanisms.