Literally speaking, risk management is the process of minimizing or mitigating the risk. It starts with the identification and evaluation...
Read moreRisk management is a significant expense for any company. There are several skilled professionals that need to be recruited and...
Read moreVarious organizations have laid down principles for risk management. There are risk management principles by International standardization Organization and by...
Read moreIn order for businesses to run smoothly, risks need to be identified and managed. This is especially true in our...
Read moreThe organizational game is changing fast these days. The HR manager today acts as an associate with line management to...
Read moreWhat does risk management mean? Is it just identification, assessment and planning and controlling social, economic or physical threat to...
Read moreThere is a common misconception about risk management that the goal of risk management is to completely eliminate the risk...
Read moreThe policy of risk management is unique to every organization. Practices that may be considered acceptable in one organization may...
Read moreThe discipline of risk management has been evolving through the years. As a result, the process of measuring risk and...
Read moreAny project immaterial of the size of the same carries a lot of risks, which may be financial, non-financial, legal...
Read moreA risk management plan can never be perfect. However, the degree of its success depends upon risk analysis, management policies,...
Read moreA risk treatment is mandatorily a part of an effective risk management plan. The plan here means how you respond...
Read moreThese days, the importance of Human Resource Management can not be neglected especially when companies are operating in such a...
Read moreThe CAS committee on Enterprise risk management has given the following definition of the same – ‘The discipline by which...
Read moreOnce an organization decides to go for Enterprise Risk Management, the challenge is the implementation. At the ground level there...
Read moreIn stock market there is strong relationship between risk and return. Greater the risk, greater the return generally! In financial...
Read moreManaging risk efficiently and effectively can be a determining factor in the overall success of any organization. Most of the...
Read moreRisk management has evolved from being just a discipline to a full-fledged profession that lots of people are choosing these...
Read moreAnticipating and Mitigating Organizational Risks in the Digital Age Every era brings with its own share of risks for organizations...
Read moreAustralia is considered to be one of the most developed nations in the world. Up until now, the Australian economy...
Read moreThe MeToo movement has caused ripples across the entire world. The fact that some of the most prominent and powerful...
Read moreClaims processing is probably the most important function for any insurance company. This is because this process is where the...
Read moreMultinational organizations have become extremely powerful entities in the 21st century. There are many companies which have business interests that...
Read moreConflict of interest scenarios are common in businesses where multiple parties are involved. In many cases, these conflicts are small...
Read moreInsurance is one of the most regulated industries in the world. Also, there are multiple players which offer every type...
Read moreThe military application of drones is well known across the entire world. However, of late, civilian and commercial applications of...
Read moreThroughout the world, if you ever want to buy a product or service, you have to pay up for it....
Read moreAlmost all of the tech giants in the world today are trying to launch their version of self-driving cars. Diverse...
Read moreThe average consumer believes that most of the money that insurance companies collect in the form of premium ends up...
Read moreMost individuals buy insurance policies through insurance agents. These insurance agents are often individuals who work on behalf of one...
Read moreIndia is one of the biggest markets for insurance companies across the world. However, it also needs to be understood...
Read moreThe Fintech revolution has startled many industries. Insurance is one of the industries that have been affected. A large percentage...
Read moreThe modern multinational company is global in nature. This means that a lot of times work is sent overseas because...
Read moreWhat is Unemployment Assistance and Why it Matters in the Present Times World over, there are many countries that provide...
Read moreIn 2017, Forbes magazine named #MeToo movement as the “person of the year.” This is because the #MeToo movement has...
Read moreIn the United States, the government of the United States is the biggest player in the flood insurance industry. This...
Read morePeople in the developed world have an affinity for pets. This is the reason why two-thirds of American households, i.e....
Read moreCannabis businesses have recently been given industry status. About 25 of the 50 states in the United States allow usage...
Read moreThe market for cryptocurrency has exploded in the recent past. The past couple of years witnessed a major rise and...
Read moreThe general public is not very fond of the financial services industry. Whenever any crisis breaks out, the financial services...
Read moreIt is no secret that consumers are leading extremely busy lives. In many families, both the partners are working and...
Read moreInsurance companies are very different from other companies. Other companies have to pay upfront for buying raw materials. They get...
Read moreThe millennial consumers are remarkably different from their predecessors. This is true in the sense that whilst earlier generations preferred...
Read moreIn the previous article, we understood what reinsurance is. We also studied the various types of reinsurance contracts that are...
Read moreIn the previous article, we have explained why regulation is important for the insurance industry. We have also understood how...
Read moreTerrorism is a grave risk that is being faced by the entire world. When an event related to terrorism occurs,...
Read moreThe global insurance industry is at a strange crossroad. On the one hand, the market is completely saturated in countries...
Read moreInsurance is a tool which helps individuals protect themselves and diversify their risks. The concept of insurance is based on...
Read moreIn the previous article, we have studied about the concept of captive insurance companies. We have also enumerated the various...
Read moreP2P insurance, short for peer to peer insurance, is a relatively new form of insurance which has made its way...
Read moreRisk management, as a concept, is studied and implemented across all industries. Over the years, even companies with the most...
Read moreThere is an old saying in management that “whatever gets measured gets managed”. This is truer in the case of...
Read moreTechnology has disrupted the entire business world and the field of risk management is no exception. All across the world,...
Read moreThe entire subject of risk management is based on the ability of the manager to identify, value, and then mitigate...
Read moreIn the previous few articles, we have studied about the concepts of risk management in general. However, merely understanding general...
Read moreCompanies all over the world today acknowledge operational risk as a serious threat to the survival of their organizations. This...
Read moreThe fundamental principle of operational risk management is to ensure that all operational risks have been considered and decisions have...
Read moreIn the previous article, we discussed about the top-down and bottom-up approach which has been created to identify risks. In...
Read moreThe modern approaches to risk management are data-driven. There are four basic steps to this approach which we will study...
Read moreIn the previous article, we studied how a firm can collect internal loss data about the adverse events that take...
Read moreRisk and control self-assessment (RCSA) is an internal procedure used to identify, assess, and mitigate operational risks within a company.1...
Read moreScenario analysis is the third pillar of the framework suggested by the Bank of International Settlements in their Basel norms....
Read moreThe fourth and last step for risk management suggested by the Bank of International Settlements in its Basel Norms is...
Read moreThe Bank of International Settlements (BIS) has created the Basel norms so that the operational risk measurement and mitigation are...
Read moreThe Basel guidelines are the gold standard when it comes to identifying and managing operational risks. This is the reason...
Read moreThe definition of operational risk has been narrowed down. This has helped organizations better manage their operational risks. All operational...
Read moreA loss distribution approach is a common approach followed by risk management practitioners in order to identify and evaluate the...
Read moreInternal frauds are a big part of the operational risk faced by any organization. This is truer of multinational companies...
Read moreThere are several books that have been written about the steps that need to be undertaken in order to be...
Read moreCredit rating is an important and almost central part of the overall credit risk management function in any organization. Every...
Read moreThe credit limits concept forms the root of the credit risk management practice at most organizations around the world. Financial,...
Read moreThe purpose of credit derivatives is to make sure that the interests of the buyers of protection are secured if...
Read moreThe business of banking has witnessed a lot of changes in the past few years. It would be safe to...
Read moreIn order to manage any type of risk, it becomes important to measure it. Now, credit risks manifest in different...
Read moreCredit derivatives are the most important financial innovation in the field of credit risk management. These derivative instruments have been...
Read moreStructured finance products have proliferated the financial markets. There are several derivative products that have been created with the sole...
Read moreCredit derivatives were created in order to transfer the credit risk inherent in an instrument from one party to another...
Read moreWhen credit default swaps first found their way into the global market, they were hailed as being a great invention....
Read moreCredit default swap is the most commonly known derivative which is based on swaps. However, it is not the only...
Read moreCollateralized debt obligations (CDOs) are a very important and popular type of credit derivative. With the growth in structured finance,...
Read moreIn the previous article, we studied about how collateralized debt obligations (CDOs) are derivative instruments that have been built on...
Read moreThere have been many advances in the field of credit management. Mark to market accounting is one such innovation. Mark...
Read moreThe Basel norms suggest that organizations assess their own credit risk internally. In order to do so, they are required...
Read moreNetting is a procedure that is commonly used by organizations all over the world to reduce their counterparty credit default...
Read moreExpected default frequency (EDF) is an important metric to be considered during the mitigation of credit risk. It is commonly...
Read moreThe expected default frequency (EDF) model is widely used across the world in order to effectively manage credit risk. In...
Read moreAcademicians and practitioners from all over the world have been tried very hard to come up with a model which...
Read moreIn the previous articles, we have seen how we can use exposure at default (EAD), loss given default (LGD), and...
Read moreIn the previous article, we have already studied how expected and unexpected losses are calculated using statistical techniques. However, there...
Read moreThe primary purpose of credit risk management is to avoid credit losses i.e. credit events that negatively impact the cash...
Read moreCorporate governance can have a huge impact on credit risk. This is because corporate governance is the set of rules...
Read moreFirms often give loans or extend credit over extended periods of time. The credit extended may continue for years and...
Read moreThe global financial system is connected to markets. Markets are where companies go to if they want to raise funds....
Read moreThe concept of market risk has always been around ever since financial markets have existed. However, the measurement and management...
Read moreThe concept of value at risk (VaR) is closely connected with the concept of market risk mitigation. This is why...
Read moreThe value at risk (VaR) model is a mechanism of calculating the maximum probable loss from a given data set....
Read moreIn the previous articles, we have studied how the value at risk (VaR) models should be used to calculate risks....
Read moreIn the previous articles, we have discussed the details about the concept of value at risk (VaR) as well as...
Read moreMerely creating a model which calculates the value at risk (VaR) i.e. the greatest possible loss that a company can...
Read moreValue at Risk (VaR) is the most prominently used methodology when it comes to gauging and mitigating the market risk....
Read moreThe value at risk (VaR) model has several advantages, which is why it is used widely in different parts of...
Read moreThere are many organizations in the world that have billions of dollars invested in the financial markets. Most of these...
Read moreThe management of market risk is very difficult because the value of financial instruments traded in the markets changes very...
Read moreMost of the literature in market risk management is dedicated to explaining the methods which are used in the management...
Read moreThe volatility present in the market is always mentioned in a negative manner. However, if one looks carefully at the...
Read moreMarket risk and volatility are two terms that are heard a lot by many risk management professionals. To the layman,...
Read moreThe overall risk management of a firm is largely based on statistical measures. This is because most of the models...
Read moreIn the previous article, we have understood why data quality is important in the field of risk management. We also...
Read moreEnterprise risk management (ERM) is a buzzword that has been doing rounds in the risk management field for the past...
Read moreIn the previous article, we have discussed the concept of enterprise risk management (ERM) and how it is different from...
Read moreUndertaking financial and non-financial risks is the basic job of any business organization. In fact, profit is considered to be...
Read moreThere are several organizations in the world that follow their very own risk management practices. However, there are some practices...
Read moreAny firm that sets up a risk management department wants to ensure that the department works efficiently and effectively. Just...
Read moreThe field of risk management has undergone a sea of change in the past few decades. At one point in...
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