Fundamentals of Bank Risk Management
Banking today has become unduly complex because new forms of risk such as technological, compliance and reputational risks are evolving and growing. They amplify the fundamental risks inherent in any bank – those of credit, market, operational and liquidity. While established concepts and principles of risk management flourish, new prescribed practices such as those of the Basel Committee on Banking Supervision continually unfold over the years. All in all, the discipline can appear complicated to many.
Fortunately, there is universal consensus as to what constitutes sound risk management applicable to banks everywhere. Bank regulators and banks themselves are urging that staff, at all levels, should be aware of, and have a working knowledge of, risk management.
This book brings together, in a comprehensive package, the essential elements of bank risk management, current practices and contemporary topics such as Basel IV and cyber attack risk.
It offers international cases and examples that are useful to remember and concludes with an epilogue on the future of risk management followed by an 11-page glossary. Every chapter ends with a summary of key points and a set of self-check questions.
It will benefit anyone who seeks an overview and basic understanding of risk management in banking. Knowledge gained from this book will also help to give the reader insights into overall bank management.