Risk Management is one of the biggest issues facing the financial marketstoday. <strong>Managing Operational Risk in Financial Markets</strong> outlines the maj... » 

Risk Management is one of the biggest issues facing the financial marketstoday. Managing Operational Risk in Financial Markets outlines the majorissues for risk management and focuses on operational risk as a key activity inmanaging risk on an enterprisewide basis.While risk management had always been an integral part of financial activitythe 1990s has seen the requirement for risk management establish itself as akey function within banks and other financial institutions. With greateremphasis on ensuring that money is not lost through adverse market conditionscounterparty failure or inappropriate controls systems or people riskmanagement has become a discipline in its own right. Managing risk is now THEparamount topic within the financial sector. Recurring major losses through the1990s has shocked financial institutions into placing much greater emphasis onrisk management and controls. The collapse of Barings and losses made byMetallgescellschaft Orange County Diawa and Sumitomo as a result of a lack ofprocedures systems or managerial control has demonstrated to organisations theneed to broaden the scope of their risk management activity from merely lookingat market and credit risk. This has brought into focus the need for managingoperational risk. Operational risk can only be managed on an enterprise widebasis as it includes the entire process of policies culture proceduresexpertise and systems that an institution needs in order to manage all therisks resulting from its financial transactions. In fact in order toeffectively manage market and credit risks it is necessary to have the relevantskills and expertise in the staff technical andorganisational infrastructureas well as monitoring and control systems. As all of these are components ofoperational risk it then becomes apparent that an integrated risk managementapproach needs to focus on operational risk.Provides a comprehensive framework for the mana «