Risk Classification

All the risks currently affecting PIC were identified, classified into categories and sub-categories, and recorded in the Risk Catalogue.

Business risk – the risk arising from unexpected changes in business environment.

Credit risk – the risk arising from the inability of a counterparty to meet a payment or delivery commitment.

Market risk – the risk arising from unexpected changes in market variables.

Operational risk - the risk arising from inadequate physical infrastructure (asset failure), risk control or risk infrastructure (process failure).