Regulatory Alerts2023-07-31
FMI Standard 3: Framework for the comprehensive management of risks
The Reserve Bank of New Zealand and the Financial Markets Authority jointly issued this standard to mandate that operators of designated financial market infrastructures maintain a sound risk management framework. The regulation requires these operators to implement policies and internal systems that identify, measure, monitor, and manage legal, credit, liquidity, operational, and other material risks. Furthermore, operators must annually review their risk frameworks and interdependencies while providing incentives for participants to contain the risks they pose to the infrastructure.
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