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.
Volcker compliance-responsibility aspect splits legal opinion
Volcker rule requirements for chief executive compliance responsibility called into question
Beware of data leverage
Beware of data leverage
Questions raised over FSA twin peaks structure
FSA begins its ‘twin peaks’ approach, but some participants say questions remain over how the new structure will work
Special report: Operational risk
For energy traders and risk managers, operational risk extends far beyond IT and trading-systems risk to the real-world fundamentals of delivery risk, shipping delays, pipeline congestion or even a cyber attack on the power grid.
Dexia rejected AMA over uncertain capital relief
Public finance specialist rejected AMA prior to break-up, finding capital benefit might not offset costs, but fellow Belgian bank BNP Paribas Fortis argues in favour of op risk modelling
Energy trading firms keen to improve ETRM reporting
Reporting progress
Cifas data shows identity theft rose in 2011
Operational risk data
The machine stops
Editor's letter
The ORR 20: Software rankings 2012
Convergent paths
Basel III commitment in question, says ex-committee member
The ongoing crisis in Europe is casting doubt over Basel III framework, says a former Basel Committee member
Mitigating op risks for CCPs post-crisis
To the rescue
OpRisk North America: Right culture is critical, conference hears
Getting the risk culture right at a financial institution is critical to op risk – but speakers acknowledge that is far from easy
OpRisk North America: Too much confidence in risk models, OCC’s Levonian warns
OCC regulator warns risk managers to re-examine data integrity and be wary of model risk
Managing operational risk at commodity trading firms
Managing operational risk
White paper: Open source governance in highly regulated companies
Open source software can empower developers, increase innovation and improve competitiveness, and its popularity is growing tremendously. Open source now represents an average of 29% of the code deployed by IT and technology innovators are using 60%–80%…
White paper: Customer success story – Financial services
A global financial services giant finds that the Black Duck Suite enables it to realise the compelling economics of open-source software while solving the significant management, compliance and security challenges that weighed down productivity and…
Goldman Sachs' resignation linked to 'hypocrisy'
Goldman Sachs' treatment of clients not unusual, psychologist says
Derivatives blamed for Goldman Sachs' 'toxic' culture
Resignation letter links derivatives trade to moral collapse at bank