The risk context

Everyone in the financial sector has been influenced and impacted in some way or another by the increased focus on risk management and compliance in recent years. Whether it is SOX from the US or Basel from the BIS or Solvency II for the insurance sector, new regulation is everywhere – indeed so much so that we have devoted an area of this website to a single current regulation – MiFID. One of the more recent changes to focus of this area is the increasing formalizing of Operational Risk rather than the more traditional Credit and Market Risk. Although Operational Risk is something that all organisations have to manage in some way, the increasing need for structure and external transparency for this risk has lead to new processes and tools being set up within financial organisations.

The risk imperative

The recent G20 declaration has put immediate actions and timescales on some of the much anticipated changes to the regulation of risk . By 31 March 2009, Regulators have been tasked with developing enhanced guidance to strengthen banks' risk management practices, in line with international best practices, and to encourage financial firms to re-examine their internal controls and implement strengthened policies for sound risk management. If, like many financial institutions, a good proportion of your internal controls, and risk assessments and workflow are heavily dependent on slow manual, error prone and disjointed processes, then these will attract renewed attention from your Regulator.

However, you may feel that you may not have budget or resources to fix these issues in what is a relatively short time. MPI Europe, working with leading risk management product vendor RiMaOne, have put together a flexible solution to address these issues. RiMaOne’s software is already in use in several large financial institutions for risk management, controls and assessment, and MPI Europe’s consultants have delivered risk management projects across a range of financial institutions from large banks to corporate. Together we believe we can offer a flexible, rapidly implemented solution to these issues and are already engaged in detailed and ongoing discussions with several large firms. To find out how we could help you please contact us for an initial informal discussion More >>

Risk and Compliance has been a key area of focus for MPIE since inception of the firm. In addition to thought leadership work, plus training we have also developed an IT Operational Risk solution. Another area of focus has been around the growth of the data required and how to manage this.