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.
Banks spend 25% of compliance budget on overseas regulation
New research finds banks face steep extraterritorial compliance costs
Nixon joins IIF
IIF appoints deputy managing director
Recovery and resolution diverting attention from real risks, expert warns
RRPs are distracting risk professionals, one legal expert says
Nordic banks push for Fatca deal
Nordic banking associations open Fatca reciprocity talks
Mitigating the risk of organised crime on banks' call centres
A balanced defence
Slater to join Standard Chartered as group head of operational risk
Peter Slater leaving CLS to take up op risk role at Standard Chartered
Fatca reciprocity splits industry opinion
Reporting requirements such as those under Fatca reciprocity make waves and divide opinion in the industry
Volcker compliance-responsibility aspect splits legal opinion
Volcker rule requirements for chief executive compliance responsibility called into question
Beware of data leverage
Beware of data leverage
Questions raised over FSA twin peaks structure
FSA begins its ‘twin peaks’ approach, but some participants say questions remain over how the new structure will work
Special report: Operational risk
For energy traders and risk managers, operational risk extends far beyond IT and trading-systems risk to the real-world fundamentals of delivery risk, shipping delays, pipeline congestion or even a cyber attack on the power grid.
Dexia rejected AMA over uncertain capital relief
Public finance specialist rejected AMA prior to break-up, finding capital benefit might not offset costs, but fellow Belgian bank BNP Paribas Fortis argues in favour of op risk modelling
Energy trading firms keen to improve ETRM reporting
Reporting progress
Cifas data shows identity theft rose in 2011
Operational risk data
The machine stops
Editor's letter
The ORR 20: Software rankings 2012
Convergent paths
Basel III commitment in question, says ex-committee member
The ongoing crisis in Europe is casting doubt over Basel III framework, says a former Basel Committee member