Contributor: Laurence Wormald

Asset managers are facing a catch-22. More frequent and larger risk volatility shocks are on the cards. At the same time, restricted budgets and resources mean they aren’t getting a clear understanding of scenario analysis for reliable risk forecasting. Our recent “Vulnerability to Volatility Risk – a Global Challenge,” survey conducted by the Economist Intelligence Unit, found that a significant number of organizations don’t have the business models or a strategy in place to cope with these unexpected levels of volatility. In fact, nearly a third of the respondents said they don’t have a system in place to shield their clients to this risk.... read more