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.
Former Citigroup employee charged with fraud
Former vice-president of Citigroup's treasury finance department charged with bank fraud
RBS faces $100 million lawsuit in US
RBS being sued in the US by Highland Capital for $100 million
OECD calls for greater access to data and increased risk modelling for regulators
The OECD highlights a lack of access to data and a need for varying risk models for regulators and risk managers
Former CME employee charged with data theft
A former employee of CME Group has been arrested and charged with stealing data from the firm
OECD calls for a permanent risk body
With the increased global threat of risk in the financial and other systems, the OECD calls for a permanent risk body within its organisation
Inconsistent regulations delaying AMA rollouts globally, banks say
Pillar II is causing banks to face challenges from host regulators
OpRisk Europe 2011: Video
OpRisk Europe speakers and delegates give insight into the 13th annual OpRisk conference
Peer review needed to prevent regulatory arbitrage, says AMF
Clearing rules 'won't work' unless US and European regulators can agree on detail, says senior French regulator
OpRisk Asia: regional growth could undermine ORM, conference hears
Continuing growth in the Asian market means expansion could override caution in operational risk
OpRisk Asia: regulatory change bigger than it looks for operational risk
Regulatory reforms seem to have left operational risk untouched, but in reality they mean substantial changes
Bank of America appoints new chief technology officer for GWIM unit
BofA has appointed David Reilly as its chief technology officer for its GWIM unit
Stockton retires from FRB
David Stockton will be retiring from the FRB ths year after 30 years of service
SEC appoints Lewis as director of RiskFin
The SEC appoints Craig Lewis as its chief economist and director of the risk, strategy and financial innovation division
Triffitt becomes risk director at KPMG in London
KPMG has appointed Giles Triffitt as risk director in its risk management division in London
SEC accuses China Voice founder of fraud
The SEC has charged China Voice CFO and associates with fraud
SEC charges Madoff employee with fraud
Longtime Madoff employee Eric Lipkin is charged by SEC in connection with Madoff Ponzi scheme
FSA fines Bank of Scotland for mishandling customer complaints
The FSA has fined Bank of Scotland for mishandling customer complaints relating to retail investment products
Theye charged with multimillion-dollar Ponzi scheme
CFTC charges Austin man with defrauding investors in a multimillion-dollar Ponzi scheme
Egan and McGarry sentenced over $60 million fraud
Two New Yorkers have been handed prison terms for their part in a $60 million fraud
Central clearing: safe as houses?
New regulations mandating the central clearing of OTC derivatives bring operational risks for central counterparties and increased exposure to systemic risk. In the second of a two-part series, ORR looks at the problems and opportunities for clearing…
BMO's David Fletcher: advancing on the AMA
In advance
Cole: FCA will be more interventionist than FSA
Margaret Cole of the FSA tells participants at a CSFI event that a change in culture from the FSA to the FCA will allow for a more proactive regulator
Lloyds abandons AMA
Lloyds has abandoned the AMA after trying to combine two models, losing key staff and coming under scrutiny from regulators
Robust estimation of operational risk
Research Papers