Operational risk
WHAT IS THIS? Operational risks are those arising from people, processes and systems – the biggest form of exposure for many industries, but one that was neglected by financial firms until the collapse of Barings Bank in 1995. It was added to the Basel capital framework in 2004, but attempts to model operational risk were dealt a heavy blow by the huge, unforeseen losses suffered by banks in the aftermath of the financial crisis.
Bank of America fined $1.27bn for defrauding mortgage agencies
Bank pays fine for mortgage fraud in the lead-up to the financial crisis
OpRisk Asia 2014: photogallery
Free-to-view photographs from the OpRisk Asia 2014 conference
Proposed bitcoin regulations 'unworkable' in current form
NYDFS proposes bitcoin regulations that experts say go too far
Late AIFMD applications 'may face less scrutiny' by FCA
Last-minute AIFMD applications may be rushed through by regulator
US banks shunning bitcoin over regulatory fears
Regulatory constraints likely to continue holding back crypto-currencies
Compliance culture an issue for non-US banks, expert warns
Foreign banks struggling to comply with US rules, as BNPP fine shows
Nordea loses head of operational risk to Danske Bank, and other recent job news
Jørgensen leaves Nordea for compliance and AML role at Danske Bank
Conflict resolution was lacking at Paradigm, expert says
Inadequate conflict resolution led to SEC whistleblower retaliation case
Fatca withholders to struggle without crucial instructions
Days to go until Fatca deadline and instructions still not published
Operational risk modelled analytically
Regulators require banks to use an internal model to compute a capital charge for operational risk, which is thought to be sensitive to assumptions on dependence between losses that still remain a matter of debate. Vivien Brunel proposes an analytical…
Whistleblower costs will rise further for Paradigm Capital
SEC whistleblower case will bring more than just monetary fine
Sponsored video: Operational risk and the challenges of defining and dealing with conduct risk
Operational risk and the challenges of defining and dealing with conduct risk
Building an invisible framework for risk management
Invisible framework enables risk management in a more efficient manner
Conflicts of interest a key concern for Finra
Management of conflicts of interest needs attention, says regulator
Too many agencies involved in AMA for common approach
Regulator warns reaching common standard will be difficult
Op risk tolerance, not appetite, White tells conference
UBS op risk framework head describes struggle with defining op risk appetite
Cyber threat 'impossible to avoid'
Delegates hear that zero risk appetite to cyber can be costly
Regulators must define conduct risk, Nomura op risk head says
Conference hears of need for conduct risk definition by UK regulator
US appeals court ruling on Citi settlement ‘too late’
Overturning judge's rejection of Citi settlement won't have much impact
Tackling substance misuse "too costly for banks"
Scale of problem seen as too great to address directly
Managing conflicts of interest to mitigate conduct risk
Financial institutions must ensure clients' interests aren't compromised