Business Risk Management

Using financial engineering, we conduct a research and development on business risks associated with each business line and assumed by the corporation in return for generating profits. Also, we offer consultations on the business risk analysis, in order to make use of results from quantitative analysis in management decision-making process.
As an example, we develop models to quantify and to analyze the business risks, by means of EaR (Earnings at Risk) method. We also offer consultation services on how to improve the risk return relationship of business portfolio (see chart below).

We have extensive experiences and many achievements in business risk management.

• Research & development and consultation related to risk-return analysis and risk hedging
• Research & development and consultation related to risk management regarding purchase of raw materials
• Research & development and consultation related to risk management regarding foreign exchange
• Research & development and consultation related to interest rate risk management inherent in liabilities
• Advisory regarding quantitative analysis of capital management
• Consultation related to company's credit rating
• Research & development and consultation related to business risk management associated with IFRS (International Financial Reporting Standards).