You are viewing all posts tagged with "enterprise risk management"

vice president, risk solutions, SunGard's capital markets business

18
Mar
2013

Enterprise Risk Management and the Vernal Equinox

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A version of this blog post was originally published by Markets Media. In a time long forgotten, seven days before the third full moon of the year, a drum beats a slow and terrible accompaniment to the death march of the sacrifices to a god whose satisfaction is needed to guarantee a good harvest and the survival of the tribe for another 12 months. As the mid-afternoon sun moves through the sky, the deity himself appears – a winged snake – and makes his way down the steps of the temple built to honor him. At the base of the temple, a carved statue of Kukulkan’s head meets the shadowy shape of his body, bringing together his astral and physical form. At that moment, the human sacrifices are made, and the people pray in terrified silence that it is enough. An eon later, and March 20 sees the 2013 vernal equinox, signifying the end of winter and the astronomical start of spring. This annual event carries with it echoes of legends and rituals from ancient cultures that have direct relevance to our approach to financial risk management today.... read more

vice president, risk solutions, SunGard's capital markets business

28
Nov
2012

Risk Management: Yippee Ki Yay, Rogue Traders

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The holiday season is upon us, and with it comes a slew of reruns of classic holiday films along with the annual financial reporting season and its attendant analysis of institutions’ risk management capabilities. Seemingly unrelated? Actually, the two are inextricably linked via one of the greatest holiday season films of all time: Die Hard.... read more

vice president, risk solutions, SunGard's capital markets business

15
Nov
2012

Risk Management: Conferences, Convergence and Catastrophe

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This blog post was originally published on TabbFORUM. Late October 2012 saw an RMA conference on risk management in Dallas, the annual FIA conference in Chicago, and a catastrophic natural disaster in and around New York. While these were separate events with very different impact levels, all three were connected by the complexity of modern risk management, what it means, and how its outputs can be understood and used.... read more

vice president, risk solutions, SunGard's capital markets business

15
Oct
2012

Cage Goes in the Water. You Go in the Water. Shark’s in the Water.

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This blog post originally appeared on TabbFORUM. In the 1975 summer smash Jaws, a rogue shark terrorizes a summer town. In addition to being responsible for more aquaphobia and galeophobia (the fear of sharks) than any other film in history, it does highlight different responses to a problem. Much of the film is set onread more... read more

vice president, risk solutions, SunGard's capital markets business

17
May
2012

A Long Time Ago, in a Galaxy VaR, VaR Away…

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In recent months, there has been an interesting twist in the story of VaR, the central measure of market risk, capital requirements, and one of the targets of criticism in the aftermath of the credit crisis. Not much comment has been made of it, but VaR has been adopted as a key plank in the central clearing of derivatives, precisely because of its ability to produce a meaningful single number. This is ironic given that it was this single number, and its attendant lack of insight into the deeper tailed risks, that led to much debate about VaR’s suitability as the key metric, and the role it played in risk management leading to the crisis. And coincidentally, it seems the story of VaR is paralleled well by the journey of young Anakin Skywalker in George Lucas’s prescient epic Star Wars.... read more