Risk management is defined as the identification, management, measurement and oversight of various business risks which are part of a firm's internal control structure.
The firm's Board of Directors has adopted guidelines defining authorized activities, the limits of these activities, and the methodology for measuring the risks of these activities. Some of these activities may include:
The firm maintains a ratio of principals to registered representatives that is well above the industry standard, employing a team of compliance professionals who have a wealth of industry experience. Our institutional sales desk plays an active role in the identification and evaluation of risk inherent in its execution activities, and collaborates with its clients to minimize this exposure.
A strong control environment forms the basis of Cheevers & Company’s efforts to protect the firm, its clients, and counterparties from unanticipated losses and erosion of capital. Specifically, our control environment's effectiveness is influenced by variables that include:
Cheevers & Company is regulated by several Self Regulatory Organizations and is examined on a recurring basis. The firm continually monitors its Net Capital position and strives to maintain sufficient excess capital to ensure liquidity.