Risk

The purpose of risk management isn’t solely to avoid and mitigate risks – it’s a key part, yes, but most risk professionals overlook the also critical bit about improving business processes and decisions. Here are three common traps risk managers and consultants fall into.

A hard right turn is rattling investors’ views of the future. Results from a recent survey reveal the perceived risks that are keeping investors up at night. Many point to political disruption as a significant risk in the next year. At the same time, respondents indicated an expectation for fraud and cyberattacks to continue as significant threats.

Is your company in the money-laundering business? It very well might be. As banks become warier and apply more resources to anti-money-laundering (AML) efforts, creative criminals are eyeing nonfinancial companies as alternative means to “cleaning up” their act.

Hedge funds face a disproportionately complicated regulatory environment in which many buy-side players face additional requirements when compared with the sell-side. Within this landscape, hedge funds are looking for holistic compliance controls, different risk and analytics controls, and integrated analytics. Steven Anikewich explains.

The Fourth-Party Challenge The identification and monitoring of fourth-party vendors has become an increasingly important piece of the vendor management puzzle, especially with the announcement of SSAE 18, which takes effect in just a few months.  SSAE 18 requires the monitoring of your third-parties’ subcontractors – your fourth parties – which can be difficult to trace. By now you are...

FINRA announced its priorities for the year, which will drive examination and regulatory programs and significantly impact market participants focused on compliance, supervision and risk management. This article by Venable attorneys discusses FINRA's focus on five specific areas.

4 Signs of a Strong ERM Program There’s always room for improvement, particularly when it comes to managing risk. But the concept of “risk management effectiveness” remains vague. Alex Sidorenko outlines four signs your organization’s risk management program is robust – and doing its job. By: Alex Sidorenko Lately, everyone – from the government agencies to regulators to corporate board...

Systemic risk was a major contributing factor to the last financial crash, and the period of regulatory change since has forced financial institutions to dramatically increase the time and money they spend on regulatory functions. The recent rise of regulatory technology provides a streamlined view of an organization’s risk position, and more.

The discipline of behavioral science is picking up steam as an alternative perspective on decision-making. Humans are limited in their abilities to predict probability, and they’re subject to errors in judgment; enter the cognitive risk framework, a pathway to enhance enterprise risk using advanced analytics to inform decision-making.

82 percent of executives surveyed worldwide experienced a fraud incident in the past year, compared to 75 percent in 2015, according to the Kroll Annual Global Fraud and Risk Report 85 percent of executives reported at least one cyber incident and over two-thirds reported security incidents Current and former employees were the most common perpetrators Fraud, cyber and security incidents...

Alex Sidorenko from RISK-ACADEMY shares his experience in running online and offline risk management business games to facilitate risk culture development. Running simple, yet highly interactive risk management games is the best way to teach risk management in the organization. It works equally well for students.

In the age of Big Data, truth seems increasingly fluid. This is one of the reasons risk management fails. James Bone warns against taking an “archaeological” approach to risk management in the face of uncertainty, creating stories from past experience and imperfect information to describe the new truths using old methods.