Classification of risks in stock trading

If based on the extent of the impact of risk, risk can be divided into 2 types: risks and non-risks system system: System risks are the risks related to the stock trading market, the impact on all the subjects involved in the market.
>No computer system risk is the risk that when it happens, it only affects one or a group of entities involved in the securities market. For example, the risk of the price is kind of common risks when implementing Active underwriting, business risk. Depending on stock trading accounts on the type of risk that securities firms can prevent or reduce the severity of impact.

Objective causes: risks are those risks that occur beyond the control of the securities business. Risks from objective causes is difficult elements can be limited. Such as earthquakes, natural disasters, economic crises, political ... when happens often negative influence to the stock trading operations.

Risks from the subjective cause: are the risks incurred by the fault of the holder may engage in securities trading activities. It may be legal risks emerge due to the drafting of the contract does not conform to the law or conduct business acts violating the prohibition law, the risk that occurs in the process of doing business by the securities holder may not perform his obligations.

-If the base nature of risk, can be divided into: legal risks; nutrition partners business risk, market risk, risk operations themselves: Legal risk: trading platforms are the risks occurred by the litigation, dispute between a securities company with partners in the transaction process due to the use of the materials, the text does not match with the provisions of the law and ...

Business partners: risk is the risk arising between the subject with clients, stock trading customers can not enough money or securities when due or payment between securities company with other partners because of the custody and payment transaction does not complete.

Market risk is the risk arising when there is volatility and liquidity of the securities in the transaction causes the customer cannot sell or buy a large amount of online stock trading companies in certain marginalized; or securities firms could not perform underwriting successful installments if stock prices declined shortly after the release.

Automatic stock trading operations: risks are the risks occurred during subject KDCK made transactions, can the employee error or financial restrictions of the company, or by the malfunction of the system ... ...