Value Added Risk Management in Financial Institutions

Value Added Risk Management in Financial Institutions
Author :
Publisher :
Total Pages : 342
Release :
ISBN-10 : IND:30000094609215
ISBN-13 :
Rating : 4/5 (15 Downloads)

Book Synopsis Value Added Risk Management in Financial Institutions by : David P. Belmont

Download or read book Value Added Risk Management in Financial Institutions written by David P. Belmont and published by . This book was released on 2004-03-03 with total page 342 pages. Available in PDF, EPUB and Kindle. Book excerpt: The typical financial executive’s view of the value of risk management in their financial institution is based on the belief that risk management focuses on loss avoidance. This view is based on the history of risk management being control focused. However, risk management has evolved rapidly to address the more strategic issue of optimization of return on risk. This evolutions has been accompanied by statistical, mathematical and financial techniques which, when actively applied, can produce disproportionately high return on risk. Given that financial institutions will have to make significant investments in their risk management systems to comply with the regulatory capital calculation requirements of BIS II, the book shows how to leverage this investment to extract shareholder value. Key concepts illustrated and explained in detail include: Opportunity costs of capital Economic profit Risk adjusted returns on capital Economic capital measurement and their relationship to economic capital allocation Capital structuring Capital budgeting The use of risk adjusted performance information in the formulation of management strategies that seek to optimize return to shareholders are discussed in depth and illustrated by practical case studies of several leading financial institutions. Finally, practical incentive and technology challenges are addressed and pragmatic recommendations for overcoming these challenges are given. The book aims to describe these techniques, illustrate their application, and discuss their strategic value in the management of financial institutions.


Value Added Risk Management in Financial Institutions Related Books

Value Added Risk Management in Financial Institutions
Language: en
Pages: 342
Authors: David P. Belmont
Categories: Business & Economics
Type: BOOK - Published: 2004-03-03 - Publisher:

DOWNLOAD EBOOK

The typical financial executive’s view of the value of risk management in their financial institution is based on the belief that risk management focuses on l
Value at Risk and Bank Capital Management
Language: en
Pages: 276
Authors: Francesco Saita
Categories: Business & Economics
Type: BOOK - Published: 2010-07-26 - Publisher: Elsevier

DOWNLOAD EBOOK

Value at Risk and Bank Capital Management offers a unique combination of concise, expert academic analysis of the latest technical VaR measures and their applic
Value and Capital Management
Language: en
Pages: 723
Authors: Thomas C. Wilson
Categories: Business & Economics
Type: BOOK - Published: 2015-08-10 - Publisher: John Wiley & Sons

DOWNLOAD EBOOK

A value management framework designed specifically for banking and insurance The Value Management Handbook is a comprehensive, practical reference written speci
The Risks of Financial Institutions
Language: en
Pages: 669
Authors: Mark Carey
Categories: Business & Economics
Type: BOOK - Published: 2007-11-01 - Publisher: University of Chicago Press

DOWNLOAD EBOOK

Until about twenty years ago, the consensus view on the cause of financial-system distress was fairly simple: a run on one bank could easily turn to a panic inv
Implementing Value at Risk
Language: en
Pages: 224
Authors: Philip Best
Categories: Business & Economics
Type: BOOK - Published: 2000-11-21 - Publisher: John Wiley & Sons

DOWNLOAD EBOOK

Implementing Value at Risk Philip Best Value at Risk (VAR) is an estimate of the potential loss on a trading or investment portfolio. Its use has swept the bank