Risk appetite / Risk team structure [6]

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Bullet points include: “Once an organization’s risk appetite is defined, the challenge is to implement a robust governance and reporting framework that ensures day-to-day decisions are made in line with the organization’s risk appetite” Analysis of risk appetite statements of their clients indicated the following measures were most commonly used (percentages add to more than 100%): Earnings volatility (80%) Economic capital requirements (60%) Reputation (60%) External credit/debt ratings (40%) Regulatory standing (40%)

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