Operational risk is as old as the banking industry itself; it was the primary cause of some financial disasters. It is one of the first risks that organisations must manage, even before they make ...

Measuring risk is an important managerial task that affects the continued well-being of businesses. One method for monitoring risk is the balanced scorecard approach, which contains performance ...

Credit risk is defined as the probability that a bank borrower or counterparty will fail to meet their obligations in accordance with agreed terms. The goal of credit risk management is to maximize a ...

Welcome to the third issue of Volume 18 of The Journal of Operational Risk. I have just returned from attending an array of risk management conferences around the world. It is always a pleasure to ...

Financial institutions are in the business of risk management and reallocation, and they have developed sophisticated risk management systems to carry out these tasks. The basic components of a risk ...

Public debt managers are exposed to a wide range of potential risks that could be categorized in two main areas: financial risks and operational risks. Financial risks, such as interest rate risk and ...

Companies that want to achieve a sustainable and profitable business need to focus on three dimensions of their operations, generally speaking. First is value protection, a foundational concern that ...

There are many types of dependencies within operational risk, such as loss frequency dependence, loss severity dependence and aggregate loss dependence. However, most studies simply choose one ...

From fires to employee errors, all businesses face risks. Starting a business without risk is impossible, so to run successful businesses, small-business owners must understand and prepare for the ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. David Kindness is a Certified Public ...