Risk

COMPLIANCE VS. RISK FOCUSED SOFTWARE – CAN ONE SYSTEM SERVE TWO MASTERS?
Risk

COMPLIANCE VS. RISK FOCUSED SOFTWARE – CAN ONE SYSTEM SERVE TWO MASTERS?

To save time, money, or both, many of us have the tendency to re-purpose tools and processes for something they weren’t originally intended for. Depending on the circumstances, this approach sometimes works … Take, for example, a client who uses a system called Jira designed for facilitating IT help requests. With a few tweaks, this client was able to re-purpose this system for work requests for other (non-IT) departments in the company. Of course, there is nothing wrong with being creative with tools like this – provided it gets the job done in an effective and ethical way. But oftentimes, this sort of “re-purposing” can be like trying to make a square peg fit into a round hole, therefore leading to wasted time and resources. One area where this is especially pr...
2021’s top 10 op risk losses hog the year’s $15bn total
Risk

2021’s top 10 op risk losses hog the year’s $15bn total

Despite more fraud and crypto crime, firms’ op risk losses fall in number and in volume. Data by ORX News The largest op risk losses of 2021 by sheer mass occurred in the hinterland of institutional finance – the world of cryptocurrency trading – where two mega-heists of more than $2 billion apiece, perpetrated on retail investors, topped the charts. While these losses ultimately accrue to the retail platforms themselves as the parties liable to make good their customers – and while they form part of the rolling loss tallies compiled by ORX News – they do not feature in Risk.net’s main summary of Read more: https://bit.ly/3flyCth
NSCC’s year of living dangerously
Risk

NSCC’s year of living dangerously

The CCP’s models are falling short time and time again, and the consequences could be disastrous As the saying goes: third time’s a charm. Except this isn’t the case for the lynchpin of the US equity markets, the National Securities Clearing Corporation (NSCC). Between January and March last year, the central counterparty (CCP) was caught $600 million short of its Cover 1 obligation. Simply put, it didn’t have enough liquid resources to cover the default of its largest clearing member in an extreme-but-plausible stress scenario. Had the worst happened, members would have had to plug the hole to avoid the clearing house’s collapse. Luckily, and despite a frenzy of activity driven by the meme-stock volatility that unfolded in Q1, the worst didn’t happen. Good news all rou...
How Risk and Compliance Technology Makes FIs More Secure
Risk

How Risk and Compliance Technology Makes FIs More Secure

Data security is essential for all businesses, but its criticality is increased manifold in the financial sector. Financial Institutions (FIs) have access to private details of their clients to a level comparable only to the healthcare sector. A lapse in data security or a leak of confidential information can cause significant losses for both FIs and their clients. The losses are not limited to reputational damage, sensitive and confidential information, if leaked, can result in financial damage to the clients and the financial institutions involved. Risk and compliance technology can help FIs ensure the security of both their database and the risk and compliance platform. Risk and compliance technology discussions mainly focus on the improvements that can be expected in risk and c...
Is Risk Listing a Reliable Risk Management Practice?
Risk

Is Risk Listing a Reliable Risk Management Practice?

Introduction Risk management can be defined as the “process which aims to help organizations understand, evaluate and take action on all their risks with a view to increasing the probability of success and reducing the likelihood of failure” (Hopkin, 2010, p. 37). This is the definition made by the Institute of Risk Management (IRM), which also published ‘A Risk Management Standard’ (IRM, 2002), a guide that lays out a framework for managing risks. This report will critically analyse and evaluate this approach, also known as Risk Listing. This paper will initially examine the limitations of this risk management practice by explaining why these disadvantages could lead to a negative impact on the organization involved in the process. The second part will focus on recommendation...
Risk

Are Medical Devices at Risk of Ransomware Attacks?

In May 2017, the first documented ransomware assault on networked medical equipment happened. The worldwide ransomware assault WannaCry compromised radiological and other instruments in several hospitals during its height, after a software failure caused by a cyberattack on its third-party vendor's oncology cloud service, cancer patients having radiation therapy at four healthcare institutions had to reschedule appointments. These examples show how cyberattacks and data breaches may have a significant impact on the healthcare industry, heavily reliant on connected medical equipment. PHI (patient health information) captured and stored in these connected medical devices must be secured. Because PHI is transferred over the cloud via server-based systems, making it very susceptible to...
Do You Need to Invest in All Meme Tokens to Become Rich? (1) CoinGecko’s API Free Data Problem
Risk

Do You Need to Invest in All Meme Tokens to Become Rich? (1) CoinGecko’s API Free Data Problem

CoinGecko.com is a gateway to explore cryptocurrency data. It’s catchy and worth making your next good friend if you are interested in crypto. For quants and field researchers their API could be a plug into stream of real-time crypto-market data accessed via a number of clients (e.g. C++, NodeJs, R, Python, Java, Ruby, etc.). CoinGecko’s free API has a rate limit of 50 calls/minute. If you need to fetch data more frequently, you have three paid plans to choose from. Let’s focus for a moment on what you can get for free if you’re a Python user. Say, our project is expressed by the title of this article and you are a newbie to the crypto-world seeking for a quick way to download some data and perform calculations. What do you need? For sure it would be a list of all Meme Tokens. It w...
Grow Employee Engagement with a Strong Investigation Process
Risk

Grow Employee Engagement with a Strong Investigation Process

In a tight labor market, employers are seeking to gain or retain a workforce with more pay, work for home and other perks. They can also improve retention through a culture of trust and consideration. Improve how you listen and investigate when someone on your team speaks up about compliance. If you investigate with urgency and respond, then you’ll gain trust and build employee engagement. Here is an anecdotal case, from the perspective of the business: An anonymous report comes in from a small foreign office, that says “It seems like there is something going on between the marketing lead and a partner. I suspect they are wasting marketing funds.” The seriousness of the issue is not entirely clear—maybe the person reporting the issue is questioning the quality of the marketing camp...
Review of 2021: Default, revolt, reform
Risk

Review of 2021: Default, revolt, reform

A secretive family office triggers one of the biggest trading losses in history. An army of retail investors single-mindedly hunts down short sellers in the stock market. The world’s most important financial benchmark marches inexorably towards death. While the last of these seismic events was stage-managed – to the extent possible – the others were not. The rise of Reddit’s retail army was anticipated by some, as home-workers ploughed their savings into a Bolshie new form of stock trading, but the explosion it set off in January came as a shock to most. And the failure of Archegos Capital Management was a five-alarm fire. Against the backdrop of a mutating virus and rising global temperatures, this was a precarious, disorderly year. It was also a story of adaptation and survival. Des...
Risk

Risk Solutions

Dataminr Website: https://www.dataminr.com/ LogicGate Risk Cloud Website: https://www.logicgate.com/ Camms.Risk Website: https://cammsgroup.com/en_us/products/risk/ OneTrust Website: https://www.onetrust.com/ SAI360 Website: https://www.sai360.com/ Fusion Framework System Website: https://www.fusionrm.com/platform/fusion-framework-system/ Archer Website: https://www.archerirm.com/ AuditRunner Website: https://www.auditrunner.com/ Ventiv IRM Website: https://www.ventivtech.com/products/integrated-risk-management-platform LogicManager Website: https://www.logicmanager.com/ Ncontracts Website: https://www.ncontracts...