China Securities Regulatory Commission Notice [2008] No.10 - Provisions for the Administration of Chief Risk Officers of Futures Companies (Trial Implementation)

Promulgated: March 27 2008
Effective: May 1 2008

Applicability: Chief risk officers are senior management personnel of futures companies who are responsible for carrying out supervision and inspection of the company's legal compliance of its operation and management, and the company's risk management status (Article 2).

Main Contents: A chief risk officer is accountable to the board of directors of a futures company (Article 2). A chief risk officer shall conduct an inquiry and investigation in respect of the potential violations that may arise and latent risks that may exist in the course of the operation and management of the futures company, and focus on inspecting whether the futures company has established and effectively implemented sound systems such as systems for safe custody of customers' margins, administration of risk monitoring indicators, and corporate governance and internal controls (Article 20).