Risk management at banks is one of the most important disciplines. Banks face extensive regulations both at balance sheet level (e.g., Basel III and IV) and at client portfolio level (e.g., suitability frameworks such as MiFID). Additionally, operational risks also undergo stricter scrutiny from regulators.
With the right expertise, tools and resources, finalix can help effectively manage risks in different domains and at various levels.
Regulations at bank level
Due to extensive regulations (e.g., Basel III and IV), banks have been subjected to many changing requirements. Some of these have an influence on the refinancing costs of financial institutions and must therefore be taken into account in strategic product design and pricing strategy.
- Operational risk (i.e., resilience under financial stress and guarantee proper operations)
- Market risk including interest rate and currency risk
- Credit risk
- Liquidity risk
Regulations at client/product level and general investment management
Further significant changes in regulatory procedures are on the horizon in the coming years in view of the changing complexity of new investment products. We can help to better understand and adapt risk indicators and calculation models.
- Investment suitability
- Product risk
- Portfolio risk
- Client interaction and client risk reporting
Our risk management know-hows focus on the areas of process optimisation, risk controlling / risk reporting with the associated data quality assurance and methodological standardisation as well as project management.
Client benefits
- Optimisation of processes in the Risk Management department
- Data quality assurance and methodological standardisation
- Reduction of costs related to risks and creation of more transparency about high risks
finalix contribution
Provide project support and the interface between Business and IT for risks identification, assessment, mitigation, monitoring and reporting for both bank and client level risk projects.
