Study of Investment Risks
| Study of Investment Risks | |
| Generals | |
| Risk refers to probability and possibility for occurrence of adverse incidents. Procedures for risk analysis include identification of risk factors, estimation of risks, risk evaluation and countermeasures. Risk analysis aims to estimate possibility for occurrence of risk factors and their impact on projects, discover critical risk factors to the success of projects, put forward risk warnings, forecast and relevant countermeasures, and provide services for investment decisions through identification of risk factors. | |
| Value of study of risks to investment | |
| ◆ Enhance investors’ consciousness of risks, and reduce risks to investment. ◆ Proceed with accurate estimation on investment cost and operating expenses for completed projects to prevent economic losses. ◆ Take measures to prevent risks to project planning design. |
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| Our service contents | |
| ◆ Analysis of factors to investment risk: Analysis of risks from policies and laws, market risks, technical risks, financial risks and operation risks. ◆ Evaluation of investment risk: It includes establishment and comprehensive evaluation of investment risk indicator system. ◆ Countermeasures for investment risk: Conception, disposal methods and propositions associated with countermeasures for project investment risk. |
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| Methods and models | |
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Proceed with estimation on possibility for occurrence of various risky factors and their impact on projects with both qualitative and quantitative methods. For evaluation of specific investment risks, it is applicable make use of analytic hierarchy process and matrix risk method to analyze risk level, and divide risk levels. Furthermore, it is also applicable to control investment risks by means of gain-loss equilibrium analysis, susceptivity analysis, critical value analysis and probability analysis. |
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