NIA places high importance on risk management and we seek to manage our risk exposure within the risk appetite and tolerance limit to achieve our business objective. The Risk Management Strategy (RMS) is designed to support the business in assessing, understanding and managing risks in order to achieve business objectives and optimal return.
Key objectives of the RMS are:
- Ensuring risk is considered in the formulation and implementation of business strategies;
- Identification of business activity where risk may arise and effectively manage those exposures to a level consistent with the Company’s appetite;
- Establishing the risk appetite and tolerance limits and describing its fundamental importance and relationship to the formulation of business strategies;
- Detailing the methodology and activities designed to identify, measure, manage, monitor and report risks; and
- Ensuring timely and relevant risk management information is provided to management to actively monitor and manage risk in alignment with the Company’s risk appetite.
The Company’s Risk Management Policy defines the key risk principles with regard to risk management in the company and also the categories of risk faced by the Company.
The Company monitors risk limits based on financial and non-financial impact on earnings volatility, liquidity and capital requirements. Given the developing nature of the environment in which the Company operates, the Company’s risk management policy will continue to evolve and adapt.