Investment funds
Credit Risk
Investment grade:
F AAA
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The security is excellent. It has extremely strong capacity to maintain capital stability and to limit exposure to principal losses due to credit risk.
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F AA
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The security is very good. It has very strong capacity to maintain capital stability and to limit exposure to principal losses due to credit risk.
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F A
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The security is good. It has strong capacity to maintain capital stability and to limit exposure to principal losses due to credit risk, but is susceptible to principal losses due to adverse credit than higher-rated funds.
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F BBB
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The security is acceptable. It has strong capacity to maintain capital stability and to limit exposure to principal losses due to credit risk, but is more susceptible to principal losses due to adverse credit than higher-rated funds.
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Non Investment grade
F BB
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It has uncertain capacity to maintain capital stability and is vulnerable to principal losses resulting from its exposures to credit risk.
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F B
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It has uncertain capacity to maintain capital stability and is more vulnerable to principal losses resulting from its exposures to credit risk.
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F CCC
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It has uncertain capacity to maintain capital stability and is extremely vulnerable to principal losses resulting from its exposures to credit risk.
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F D
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A fund has failed to maintain capital stability resulting in a realized or unrealized loss of principal. |
Market risk
Investment grade:
1+
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It has low sensitivity to changing market conditions. |
1
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It has low to moderate sensitivity to changing market conditions. |
2+
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It has moderate sensitivity to changing market conditions. |
2
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It has moderate to high sensitivity to changing market conditions. |
3
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It has high sensitivity to changing market conditions. |
Non Investment grade
4
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It represents high risk due to the sensitivity to changing market conditions. |
5
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It represents higher risk due to the sensitivity to changing market conditions compare with others.
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6
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A fund value failed to maintain the fund value. |
Operational risk
Investment grade:
BRC 1+
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Risk management, control levels and management stability are excellent and limit exposure to capital losses due to these factors.
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BRC 1
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Risk management, control levels and management stability are very good and susceptible to capital losses due to these factors.
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BRC 2+
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Risk management, control levels and management stability are good but more susceptible to capital losses due to these factors.
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BRC 2
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Risk management, control levels and management stability are acceptable but more susceptible to capital losses due to these factors.
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BRC 3
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Risk manages control levels and management stability are lower than fund with higher rating. |
Non investment grade
BRC 4
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Risk management, control levels and management stability have low susceptible to capital losses compare with others.
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BRC 5
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Risk management, control levels and management stability have very susceptible to capital losses compare with others.
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BRC 6
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Risk management, control levels and management stability have extremely susceptible to capital losses compare with others.
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