Issues management is becoming an increasingly important and visible component of Enterprise Risk management for financial institutions. While risk management deals with the degree of uncertainty and/or potential economic loss, issue management helps the organization identify, and remediate realized risks. Large institutions deal with significant breaches (control, process, policy, regulatory, etc) on a regular basis…
The Community Reinvestment Act (CRA) is a law originally enacted in 1977 with the intent to address systemic inequalities in access to financial services for low- and moderate- income (LMI) communities (Speech by Governor Brainard).1 However, due to advancements in banking technology and shifts in consumer behavior, many stakeholders have advocated for “modernization” in order…
The Final Rule for the Net Stable Funding Ratio (“NSFR”) has been published by the Federal Reserve Bank (FRB), Federal Deposit Insurance Corporation (FDIC) and Office of the Comptroller of the Currency (OCC). The final rule provides some insight as to the regulators’ approach to managing liquidity in the financial system and reveals there are…
This newsletter covers some of the more recent regulatory changes impacting Banking, Capital Markets and Insurance firms. We track more than 70 regulatory and industry bodies across North America, Europe and Asia Pacific. The shortlisted entries highlight the risks covered and business processes affected by the regulatory reforms. CURRENT REGULATIONS: Commodity Futures Trading Commission (CFTC):…
In our second blog, we discussed practical enterprise risk strategies organizations can take to better manage human capital risk. Continuing this series, let’s expand our focus to specifically look at the “human factor” and additional talent-focused strategies that can provide the programs, structure and support to address the underlying drivers of employee-driven risk. Organizations need to…
Our first post in this two-part series reviewed the communications challenges associated with mitigating LIBOR conduct risk. As the LIBOR transition deadline approaches, some financial services firms—notably large corporates—are leading the market and actively transitioning, while others—including small and medium enterprises, face challenges as the navigate away from LIBOR. Supervisors, including the Financial Conduct Authority1…
