Risk is a natural phenomenon accompanied by economic development, is a matter that can happen at any time. In the market economy environment, there are various financial risks. So how to effectively keep eyes on your own pocket safety when some banks, trusts, securities and other financial institutions are facing risks? What can we do to effectively avoid these risks? This article introduces for everybody!
1. Value the financial risk management.
We shall establish and improve the financial risk management system, incorporate the financial risk management into the important contents of company management, integrate the risk control into the management process of the company, and establish an effective mechanism and system for financial risk management so as to realize the purpose of company risk management. It mainly includes the construction of risk management system, risk control method system, business risk management system and strategic risk management system of financial institutions (see the table below). The risk management system of a financial institution is a complete enterprise risk management framework, which refers to the organizational structure, resource allocation method and relevant systems (such as organizational structure, personnel allocation and incentive mechanism) that an enterprise needs to rely on to establish and implement the financial risk management system. It plans and arranges risk prevention activities systematically, and makes risk policies and management methods according to market demand to analyze, forecast and evaluate potential risks. It mainly includes the following contents: financial risk management and control, internal control risk management and control, legal compliance risk management and control, management and decision-making risk management and control, etc.
2. Establish an effective risk control mechanism for financial business
Effective risk control mechanism is the key to prevent financial risks. Including the risk control management process, posts, systems, procedures and internal control processes. Business process design must be targeted and operational. The design of operation flow must follow the principle of risk control. Control measures and systems are important methods and tools of risk control, and also the main way and guarantee of risk control. The internal control process is the basic basis and foundation of the implementation of control measures.
3. Establish and improve the risk management mechanism
Establishing and perfecting the risk management mechanism refers to every link and process of incorporating risk management into enterprise operation and management in risk management activities. In the operation and management activities of financial institutions, risk management is the core content and the basis of all activities. To a certain extent, risk management is mainly embodied in the daily operation process, which includes a comprehensive management system composed of a series of links such as business status forecast and risk report, and is an important content throughout the risk management activities.
4. Establish a scientific and effective client credit management mechanism
The contents of customer credit management include: customer qualification, product quality, credit status, customer relationship and maintenance. Among them, customer qualification is the main content. In order to avoid risks effectively, financial institutions must start with the qualifications of customers, first, they must have enough high-quality customers, second, they must know customers well, and finally, they must have a set of scientific and effective credit management mechanism. In the current market economy environment, due to the lag and imperfection of customer credit management, banks must take different credit management methods for different types of customers. Customer evaluation system is the core of credit management mechanism. Therefore, banking financial institutions shall pay attention to: firstly, reasonably determine the client credit evaluation index system; secondly, establish client credit files; thirdly, specify credit evaluation standards, establish and implement a scientific, effective and practical client credit management mechanism; fourthly, determine the credit rating of clients, determine the credit line between credit ratings, determine the credit rating measures for clients and other aspects, and implement category-based management for clients; fifthly, adopt scientific and stringent rating method for rating; sixthly, adopt scientific and stringent audit method for rating; seventhly, establish a blacklist management system and the relevant information disclosure system for seriously dishonest clients, etc.
5. Establish risk management awareness
It is difficult to realize the effective control and prevention of financial risks in China, especially in the financial institutions such as banks, trusts, securities and so on, especially in the rapidly changing environment of financial market. Our country's financial risk control measures are to gradually establish a risk management system, that is, to establish a risk identification, risk control as the core, risk assessment, risk control and risk management as a means of risk control indicators as a constraint management model. Therefore, financial institutions shall establish and improve the risk management system, actively participate in supervision and internal control, and strive to improve their risk prevention capacity and level. At the same time, it lays a foundation for the establishment of a complete, systematic and scientific risk management system.
In an all, all member entities shall, according to their own capabilities and characteristics, play a role in all links of financial risk management, and formulate different risk management strategies and management objectives.
