Gain a better understanding of today's challenges facing risk management professionals by listening to industry executives share their insights.
Relationship Between Institutional Culture and Risk Appetite
RMA Chair, M. Robert Rose, CCO, Brookline Bank, covers each topic separately, then explains that there must not be a clash between the two. ( 2 min 40)
Current State of the Mortgage Market
Jack Wixted, Immediate Past Chair, CRO, SunTrust Mortgage, discusses the state of the mortgage market over the last 5 years.
Despite improvements like the real estate market beginning to normalize, there are still some dark clouds overhanging.
(4 min 15)
Securities Lending Currents
Jason P. Strofs, RMA's Securities Lending Committee Chair, and Managing Director of BlackRock, discusses why securities lending is an important component of well-developed capital markets.
He also highlights education as being important in proving the merits of securities lending. (3 min 15)
Market Risk Models
Murray McIntosh, RMA's Market Risk Committee Chair, and SVP, Trading Credit Risk for CIBC, discusses market risk as it relates to operational and credit risk.
Murray stresses the importance for all banks to bring the people together from various risk disciplines, so that the models and stress tests take into account all risk. (3 min 52)
The Role of the Board in Respect of Risk Management and Oversight
Jack Wixted, Immediate Past Chair, discusses the Board's role in balancing risk management and risk oversight in an organization. According to Wixted, it's the Board's role to make sure:
The risk appetite framework within the strategic plan of the organization is set; the proper people in terms of skills and expertise manage the risk; and the risk management infrastructure is in place so no risk is taken beyond capacity. (1 min 58)
What is Enterprise Risk Management?
ERM is the art of bringing all risks: credit, market, operational, liquidity, together in a comprehensive way to articulate the inner relationships, the size of the various risks, which ones are more material at the moment vs. other ones.
Hear Yousef A. Valine, EVP & CRO, First Horizon National Corporation, further define enterprise risk managment and watch how he breaks down and explains each piece of the ERM framework. (3 min 09)
The Impact of the Current Regulatory and Economic Environment
Hear Jack Wixted, Immediate Past Chair, discuss the Board's role with respect to what's going on in today's current environment.
He emphasizes that Boards should ensure that the risk management infrastructure, practices and policies, and most importantly the risk culture is clearly up to speed within their organizations. (1 min 39)
Regulatory Pressures Facing Community Banks
Leton L. Harding Jr., EVP, Powell Valley National Bank, describes the challenges community banks are facing due to today's tremendous regulatory environment.
Harding points out that community bankers are resilient and will have to find new ways and new processes to cut through the additional regulation, without adding overhead cost. (2 min 02)
Stress Testing for Smaller Banks
M. Robert Rose, RMA Chair, CCO, Brookline Bank, discusses the relevance of stress testing for smaller banks. Rose explains that there is a potentially higher risk condition in small banks: smaller banks have less diverse revenue streams than larger banks, and they are more geographically concentrated.
Rose also mentions a number of ways to conduct stress tests at smaller institutions. (3 min 02)
Business Imperative for Operational Risk Management
Daniel J. Roussell, SVP & Head, Operational Risk, State Street, discusses how operational risk cuts across all processes in an organization, takes many people to manage, and is closely linked to reputational risk.
At the end of the day, Roussell says, good management of operational risk protects the reputation of the company and the company's ability to stay in business. (3 min 22)
Empowering Management: Our first line of defense against risk.
Spyro Karetsos, Head of Enterprise Risk and Control, Vanguard, discusses how empowering management can lead to an effective op risk program.
Karetsos gives examples of how to integrate risk management and day-to-day management, from an op risk perspective. (4 min 47)
Benefits of Risk-Control Self Assessments
Adam Leishman, VP Corporate Risk Management, Zions Bancorporation, spoke at GCORVI about the benefits of risk-control self assessements, as well as the key inputs, including rate risk.
(1 min 21)