Opinion
Bad loans, euro clearing and basis risk
The week on Risk.net, January 27-February 2
The problems with conduct risk loss aggregation
Aggregation of conduct risk losses is recommended practice, but it can seriously distort capital calculations
Why investors need multiple betas
Segmented upside and downside betas can be used for better risk management
Op risk survey shows the insidious effects of political risk
Rise in geopolitical turmoil drives other risk factors, suggests a network analysis of 2017's survey
Indirect clearing, FVA and the Top 10 op risks
The week on Risk.net, January 20–26
‘Reauthorising’ CFTC could alter firms’ attitude to EU position limits
If Commodity End-User Relief Act is passed, it could mean substantial industrial change in US – and Europe
FVA: off the mark
With adjustments to increase, Darrell Duffie says dealers should improve weak valuation practices
JP Morgan's Athena, basis risk and mis-selling
The week on Risk.net, January 13–19, 2017
Hidden benefits of the Fed’s model validation push
Incidents such as the London Whale losses show an overhaul of model validation should be welcomed, not maligned
Goldman’s mortgage mis-selling fine tops 2016 op risk losses
Legal settlements with US regulators dominate the year's biggest operational risk charges
Liquidity risk, tech rankings and the buy-side edge
The week on Risk.net, January 6–12
What lies beneath: attention lessons for risk managers
Allowing seemingly irrelevant problems to fester can lead to catastrophe
Intesa Sanpaolo takes $235 million hit for AML failures
Megan van Ooyen from SAS rounds up the top five operational risk losses for December 2016
Don’t keep up with the Kardashians
Dealers may have gifted the buy side an information edge
Margin model keeps testing the limits of industry co-operation
Simm supporters say it is a work in progress, but more participants may slow that progress
FRTB’s risk factor framework is more punitive than it seems
Regime’s constraints may mean risk factors drop in and out of modellability far more frequently than dealers think
Leverage ratio, Basel debate and a year of surprises
Two weeks on Risk.net, December 23–January 5
Why liquidity risk is the silent clearing killer
A quant paper shows feedback effects can amplify CCP margin requirements in stressed markets
Why the leverage ratio distorts market-making
Darrell Duffie argues the rule hurts market efficiency for very safe assets
Risk measurement: A call for standards
Risk professionals and investors would both benefit from industry-wide norms
Risk managers: beware conventional 'wisdom'
Why the consensus view so often fails to predict seismic shocks
TLAC, sovereign risk and clearing for small firms
The week on Risk.net, December 17–December 23
Stress testing, Simm and non-cleared margin
The week on Risk.net, December 9–15, 2016
FTRB, energy market liquidity and variation margin
The week on Risk.net, December 2–8, 2016