Capital Requirements for Market Risk
The Bank for International Settlements has just amended (finally released) the Market Risk standard for Minimum Capital requirements for banks. Much of this update comes as no surprise to risk managers and these revisions were due for endorsement by the Central Regulator anyway. As we can expect, key changes driven by BIS activities around the Fundamental Review of the Trading Book continue to influence the theme of this publication. You can download the BIS publication from
Ten Risk Stories
About four years ago Causal Capital published a small presentation on Operational Risk titled “Op Risk Stories” that aimed to describe key advancements in operational risk management across the global banking sector. It was a balanced presentation in that it not only listed ten successful activities or risk management constructs that banks were trying to adopt, it also itemised ten stubborn constraints and hurdles that were reported as plaguing Operational Risk departments. I
Risk Matrices Failures
The post today has been inspired from a question a client put to me only last week, let's dig out that question and then we'll deal with the response. "Martin, I have been seeing various risk managers on LinkedIn dismiss Risk Matrices as poor methods for reporting Enterprise Risk and I wondered what your thoughts are on the subject?" At the profoundly critical end of my opinion, I see Risk Matrices as a failed construct of Enterprise Risk or Operational Risk reporting, and I
