Operational risk

Using transaction data to measure op risk

Since 1999, Peter Hughes has led a team of op risk specialists that has studied transaction processing environments in global banking organisations. The focus was on examining and understanding the causes of operational failure. The information and…

Age of reason or age of procedure?

The risk management industry's increasing use of sophisticated models and technology – when coupled with poor modelling choices – can cause problems. Stephen Blyth calls for a return to to judgement and reasoning, and a halt to proceduralism.

The misdirected directive?

Germany's financial regulator, BaFin, tried to steal a march on its European rivals by implementing a new directive that should open the door to asset managers investing in new products and using over-the-counter derivatives. But did it get it wrong?

FSA vague on AMA waiver pack approach

The UK Financial Services Authority is remaining tantalisingly vague about its potential approach to a waiver pack for those banks who wish to apply for the advanced measurement approach (AMA), say industry executives.

Sponsor's article > Op risk and Black Swans

Scarce data is a well-recognised problem for the assessment of operational risk. In such circumstances, David Rowe argues, it is necessary to blend professional judgement with the available data. In doing so, however, it is crucial to counter some well…

Increasing returns through managing risk at source

The world's largest pension fund, Calpers, has adopted an aggressive approach to corporate governance. Can this policy decrease risk and increase returns in its equity portfolio? Rachel Wolcott speaks to Christy Wood, who runs the fund's corporate…

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