Risk Management Policy


SinoPac Holdings has a clear risk management structure, split into 4 dedicated levels, namely, the Board of Directors, the Risk Management Committee, the Risk Management Division, and at the front-line level of auditing units with clear separation of duties and responsibilities. We have established complete risk guidelines and limits, enabling an appropriate balance between profitability and risk.

  1. Clearly state risk management organizational structure, roles, and responsibilities
  2. Establish a comprehensive risk management policy guidelines and limits on various types of risk (liquidity risk, market risk, credit risk, and operational risk), operational unit sales limits and guidelines and risk management procedures.
  3. Identify, measure, assess, and manage business risks other than credit, market, operations, assets and liabilities, reputation, laws and regulations, compliance, and strategy-related risks, including emerging risks and climate change risks.
  4. Provide reports on emerging risks and climate change risks issued by external institutions for subsidiaries to conduct risk assessments and take countermeasures, so as to identify risks on the corporate level and develop related strategies and report them to executives at appropriate level.

The Risk Management Department or staff of the Company and its subsidiaries should report on the implementation of risk management and provide advice on improvement to the Board of Directors on a regular basis. In the case of material exposure, they should take appropriate measures immediately and report to the Board of Directors.