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.
City operational risk exec salaries rising
Demand for operational risk management experience is pushing up salaries.
FSA surprises UK banks with tougher stress tests
Operational risk to be included in future stress tests by the UK regulator.
The case for scenarios in op risk loss databases
Scenario analysis is gaining in popularity following the crisis and loss data consortia are quick to cater for this renewed interest
New RBS task force to drive AMA standard
RBS creates a new body looking at driving efficiencies in op risk management and raising its function to AMA standards.
Banks urge Cebs to rethink operational risk guidelines
New op risk document from Cebs stirs up discord among op risk managers
Goldman Sachs uses scenarios to study reputation risks
US investment bank Goldman Sachs is pioneering scenario analysis as a tool for managing reputational risk
Sponsored statement: Meeting the Solvency II operational risk challenge
Three industry experts spoke at an exclusive Operational Risk & Regulation webinar on operational risk and Solvency II and the challenges facing insurance firms today
StanChart's Cherriman harnesses people power
Andrew Cherriman, head of operational risk management for wholesale banking at Standard Chartered Bank in Singapore, says his ability to rely on expert staff is the key to operating a sound risk management system across the bank’s many jurisdictions.
Defining liquidity risk
When will firms start realising that liquidity risk contains operational risk? David Benyon argues that companies ignore this link at their peril, and looks towards a more all-encompassing approach to its management
Risk management: how to prepare for the next crisis
Nigel Milbank believes one of the causes of the recent financial crisis was risk professionals’ failure to persuade their organisations of the importance of risk management. Here, he outlines 10 ways to get people on board the risk train and to better…
Reality bites
Op risk management no longer sits solely in the theoretical space, and has been brought down to earth with a thud. Patrick de Fontnouvelle of the Federal Reserve Bank of Boston predicts 2010 will be a year of focusing on the practicalities of…
