Integral risk management by Grupo Empresarial Sama, S.A. and its subsidiaries entails the application of best practices allowing the mitigation of risk exposure. To achieve this, the Risk Unit constantly evaluates and improves the processes it is in charge of, in order to adapt to market needs and changes, with steadfast intent to generate valuable information that may lead to the preparation of suitable investment plans, taking into account at all times the legal provisions and regulations in force in the market.
Risk: It is defined as the probability that an event with negative consequences will happen.
Types of Risk:
Credit risk: It is the potential loss that may occur due to the lack of payment by an issuer or because the credit rating of a given security or issuer has deteriorated.
Counterparty risk: It is the potential loss that may occur due to a party’s non-compliance because of illiquidity, insolvency, operational capacity, or misconduct.
Market risk: It is the potential loss that may occur due to changes in the risk factors affecting the valuation of positions, such as interest rates, exchange rates, and price indices, among others
Liquidity risk: It is the potential loss that may occur by the early or forced sale of assets at unusual discounts to meet obligations, or due to the fact that a position cannot be divested, acquired or covered through the establishment of an equivalent contrary position.
Operational risk: It is the potential loss that may occur due to deficiencies in the processes, personnel, information systems or internal controls, or due to external events.
Source of risk types: Regulations on Risk Management. General Superintendence of Securities Updated on March 9, 2015.