At the core of CS Lucas’ design is risk management. We manage finance and operational risk in three areas:
Transactional, Compliance and Price.
Transaction Risk is addressed by intuitively screening for transaction and static data. The system will validate data entry to prevent error. Secure integration practice with third parties (ERP, banks) reduces error and fraud. The system enforces role segregation between maker and checker for data quality assurance.
Compliance Risk is managed with pre- and post-trade alerts, highlighting potential breaches on exposures and limits. User access to the system is restricted by fine-gain permission followed by traceable audit logs.
Price Risk assesses the impact on assets and liability value arising from changes in interest rates, exchange rates and security prices. Unhedged open positions are revalued to determine unrealised gains and losses. Cost of funds and yield analysis provide collaborative evidence of such exposure.