Risk management

Risk management for optimisation

In our view, the implementation of a holistic compliance and risk prevention approach is a matter of course – to secure and optimise your investment and to act as a stable and sustainable operating service partner.

Just as individual as the characteristics of distinct investments are, the various external and internal risks are analysed, controlled, and transferred into a recipient-based reporting.

Measures have been implemented on the basis of the risk profile of the investments and our company, in order to treat risks preventively and to realise opportunities. Suitable indicators and controls provide the necessary impulses to focus on the key aspects. Both are reviewed at regular intervals and adjusted if necessary.

The company’s employees are an essential component of the risk management concept. Every employee takes part in regular trainings and contributes to the prevention of risks as a risk manager. Our employees are an integral part of the first line of defence.

The second line of defence consists of risk controlling, compliance, and controlling. These support the first line of defence and ensure an independent view and control with their expertise.

The entire structural and procedural organisation is reviewed by an independent internal audit department. It represents the third line of defence. In addition, the Executive Board is supervised by the Board of Directors.

The company’s internal authorities are complemented by other external supervisory authorities. These include external audits, the Financial Market Authority, and the depositary bank. The latter focuses on the supervision of the investment funds.

Figure: 3 Lines of defense

We will gladly provide you with more information about our processes and services.

Market risks

We would like to provide valuable impulses for your portfolio. We can therefore arrange to provide you with not only the absolute and benchmark-relative performance as well as the usual risk ratios, but also all the information you need for individual performance attribution.

To prepare for significant market changes and liquidity bottlenecks, your portfolios are subjected to regular stress tests. Especially in the case of a leveraged portfolio, this measure can provide valuable insights and timely impulses.

If ordinary market risks, such as currency risks, should not be part of the portfolio risk, these can be hedged for predictable success. All of our models and calculation methods are regularly reviewed and back-tested to ensure their functionality.

The analyses which are carried out for you also include a great deal of qualitative information.

We will gladly provide you with more information about our processes and services.

Operational risks

In order to structure new products for you and open up new markets, we have a highly developed “new products process” based on many years of experience. This process takes account of your requirements, involves the necessary specialists, and ensures the smooth and competitive implementation of your goals.

The daily business is supported and automated by modern IT applications in order to create additional degrees of freedom for the further development of services for our clients and to shorten product launch times. At the same time, smooth process flows are ensured.

The IT applications are embedded in a comprehensive business continuity and resumption management system so that they are available to our clients without interruption even in a crisis situation.

If you wish to involve another service provider or if we outsource partial tasks to a third party, the service provider is subjected to a comprehensive selection procedure and is subject to ongoing monitoring. Our semi-automated procedure ensures a high degree of transparency and detailed documentation. We are also happy to take over the selection procedure for a suitable financial service provider for you.

We will gladly provide you with more information about our processes and services.