Volume 2 — Governance and ControlsGovernance and Controls © Copyright 2002, All rights reserved 51 • Credit policy. • Concealment of trades. • Disclosure of confidential information. • Duty to report violations. • Disciplinary action. • Compliance program. • Business ethics policy. • Securities trading policy. 5. Limit Structure • Overview. • Hedging and trading strategies. • Limits: − VaR. − Greek. − Notional. − Credit. − Delegation of authority. − Tenor. − Liquidity. − Transaction exposure. − Stop-loss. 6. Process to authorize exceptions. • Limit violations. • Authorized products. • New product approval. 7. Credit Risk Policy, Controls, and Limits • Introduction. • Credit risk management process. • Establishing credit. • Authorizing a counterparty. • Establishing credit limits. • Establishing counterparty ratings. • Establishing counterparty collateral.