Most of the #ERM Units / Desks at banks hire Actuaries as Quantitative Risk Experts in either the front or the middle offices.
However, to be a CRO, you ideally ought to know the business model risks, credit underwriting risks (if you are working at a Commercial Bank),
However, to be a CRO, you ideally ought to know the business model risks, credit underwriting risks (if you are working at a Commercial Bank),
the governance, risk and compliance issues, IT/Data and Cybersecurity related Risk Issues, risk culture, risk attitudes, risk conduct and risk change management processes, DRP and BCP, and the Non -Financial Operational Risks in addition to quantifiable risks such as Credit,
Market and Liquidity Risks that exists across financial markets and asset class/es.
ERM is all about RCA Root Cause Analysis and FMEA - Failure Modes and Effects Analysis! it requires an overall framework to identify, measure and manage the organization-wide risks.
The Most popular Enterprise risk management frameworks used are =>
1. #COSO 2017
2. #ISO31000 STANDARD (revised)
3. #RMM - RISK MATURITY MODEL (RIMS)
4. Financial Stability Board Standards
5. #BASEL Accords (All deposit-taking financial institutions as per BIS Guidelines)
1. #COSO 2017
2. #ISO31000 STANDARD (revised)
3. #RMM - RISK MATURITY MODEL (RIMS)
4. Financial Stability Board Standards
5. #BASEL Accords (All deposit-taking financial institutions as per BIS Guidelines)
6. @irmglobal - INSTITUTE OF RISK MANAGEMENT ERM Specific Guidelines
7. #GRC Model by OECG
8. #Solvency II Directives (Solvency Capital Requirements as issued by the EU Regulators and endorsed by the other regulators for the Insurance Industry).
7. #GRC Model by OECG
8. #Solvency II Directives (Solvency Capital Requirements as issued by the EU Regulators and endorsed by the other regulators for the Insurance Industry).
Any other ERM Frameworks as and when they apply across different vertical and horizontal industries.
At Investment Banks, Actuaries primarily undertake market risk, derivative portfolio management/ pricing and hedging, and other highly quantitative risk-related assignments.
This all falls within the quantitative portfolio investment management and risk model validation domains.
This all falls within the quantitative portfolio investment management and risk model validation domains.
ERM is a very broad field, which was and is dominated by Chartered Accountants and Auditors who come from accounting/ financial reporting and internal controls backgrounds.
Actuaries are beginning to find a role within this emerging field.
Actuaries are beginning to find a role within this emerging field.
I would recommend the @CityUniLondon as it is truly outstanding for studying this subject.
The university has clout over the insurance industry in the CITY, and most of the top actuaries graduated from this university.
The university has clout over the insurance industry in the CITY, and most of the top actuaries graduated from this university.
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