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Enterprise Risk Management and the Evolving Risk Concerns
By Matthew Streeter CFA | December 8, 2014

It was a great discussion at this year’s ERM Congress this past week in New York City. It isn’t every day when you are able to sit down and get the attention from enterprise risk managers at the many different buy-side and sell-side firms.

There were a lot of great sessions and interesting debates on the issues most impacting risk teams.   Break-out sessions over the two days at the event included key topics such as risk regulation, process and control, model validation, and the increasingly important topic of risk culture. This was also a great time to have off-the-cuff discussions with many of the delegates. There certainly isn’t a shortage of hot-button issues impacting risk management teams these days, including evolving payments systems and internet security.

One of the more popular topics of discussion amongst attendees was on the growing responsibility of model validation teams as they expand and further develop their model validation teams and processes to best support evolving regulatory requirements. And this is an area where there has been discussion on the importance, which is impacting all types of financial institutions across both the buy-side and the sell-side.

During the seminar, I had the opportunity to present on the key issues I have seen while working with our clients, primarily focused on technology drivers that risk management teams are using to create competitive advantage.  A great recent example of a firm using risk management to create competitive advantage is Phoenix Group. Check out a recent case study we did. Phoenix Group ended up realizing 10 times their expected cost savings through their F3 implementation.