Y2K Op Risk Discounted By Financial Market, Says New Research

New research suggests that the world’s financial markets discounted the threat of computer meltdown in the year 2000 as early as last summer.

Dan Galai, professor of finance at the Hebrew University, Jerusalem says that despite all the fear and regulatory fuss, his team could find no evidence that the financial markets were concerned about the biggest operational risk event of the millennium. It is difficult to know whether markets remained calm because the risk was being dealt with appropriately