The Cyber-Resilient Organization
After completing this reading, you should be able to: Describe elements of an effective cyber-resilience framework and explain ways that an organization can become more cyber-resilient. Explain resilient security approaches that can increase a firm’s cyber resilience, and describe challenges…
Banking Conduct and Culture: A Permanent Mindset Change
After completing this reading, you should be able to: Describe challenges faced by banks with respect to conduct and culture and explain motivations for banks to improve their conduct and culture. Explain methods by which a bank can improve its…
Building the UK Financial Sector’s Operational Resilience
After completing this reading, you should be able to: Describe operational resilience and describe threats and challenges to the operational resilience of a financial institution. Explain recommended principles, including tools and metrics, for maintaining strong operational resilience at financial institutions….
Striving for Operational Resilience
After completing this reading, you should be able to: Describe elements of an effective operational resilience framework and its potential benefits. Rico Brandenburg et al. defines operational resilience as “the ability of an organization to continue providing business services in…
Implementing Robust Risk Appetite Frameworks to Strengthen Financial Institutions
After completing this reading, you should be able to: Describe best practices for the implementation and communication of a risk appetite framework at a firm. Explain key challenges to the implementation of a risk appetite framework and describe ways that…
Risk Culture
After completing this reading, you should be able to: Carry out a comparison between risk culture and corporate culture and explain how they interact. Explain the factors that influence a firm’s risk culture and corporate culture. Describe methods of measuring…
Assessing the Quality of Risk Measures
After completing this reading, you should be able to: Describe the ways through which errors can be introduced into models. Explain how model risk and variability can arise through the implementation of VaR models and the mapping of risk factors…
Liquidity Transfer Pricing: A Guide to Better Practice
After completing this reading, you should be able to: Discuss the process of liquidity transfer pricing (LTP) and identify best practices for the governance and implementation of an LTP process. Discuss challenges that may arise for banks during the implementation…
Risk Management for Changing Interest Rates: Asset-Liability Management and Duration Techniques
After completing this reading, you should be able to: Discuss how asset-liability management strategies can help a bank hedge against interest rate risk. Describe interest-sensitive gap management and apply this strategy to maximize a bank’s net interest margin. Describe duration gap…
Covered Interest Rate Parity Lost: Understanding the Cross-Currency Basis
After completing this chapter, you should be able to: Differentiate between the mechanics of FX swaps and cross-currency swaps. Identify critical factors that affect the cross-currency swap basis. Assess the causes of covered interest rate parity violations after the financial…
