Hong Kong Ordinances

SECURITIES AND FUTURES ORDINANCE - SECT 65

Establishment and functions of Risk Management Committee

(1) A recognized exchange controller shall establish and keep established a
committee, to be called the Risk Management Committee, to formulate policies
on risk management matters relating to the activities of the recognized
exchange controller and of any recognized exchange company or recognized
clearing house of which the recognized exchange controller is a controller and
to submit such policies to the recognized exchange controller for its
consideration.

(2) The Risk Management Committee shall consist of-

   (a)  the chairman of the recognized exchange controller who shall also be
        the chairman of the Committee; and

   (b)  not less than 4 or more than 7 other members.

(3) The Financial Secretary shall appoint not less than 3 or more than 5 of
the members referred to in subsection (2)(b).

(4) The recognized exchange controller shall appoint not more than 2 of the
members referred to in subsection (2)(b) of whom not less than one shall be a
member of the board of directors of the recognized exchange controller who-

   (a)  is such a member otherwise than by virtue of an appointment under
        section 77(1); and

   (b)  is not the chief executive of the recognized exchange controller.