Managing Risk in Financial Firms: The Practicalities without the Maths (Second Edition)

Now more than ever there is a need for lawyers to understand the concepts of risk management and to have a wider grasp of the risk-related issues facing a firm. Managing Risk in Financial Firms, 2nd edition provides a detailed analysis of the types of risk that financial institutions may face and also offers authoritative and comprehensive advice on putting in place measures to minimise exposure to risk. No maths or modeling, just practical advice. This book is not about the creation of mathematical models to gauge risk and offers no classes in algebraic calculation. It explains why there is significantly more to risk management than the now discredited VAR modelling techniques and describes a range of effective risk management methods to address various types of risk. It is essential reading for all those working within a financial institution who have no risk measurement expertise but who are inevitably involved in the risk management function of that institution.This reworked and revised second edition looks at the different sources that pose a potential risk to organisations. Breaking the subject down in to three main sections, it examines: Risks associated with the market - market and liquidity risk Risks arising from counterparties - customer, credit and counterparty risks Risks which may be found closer to home - such as operational and legal and regulatory risk Important new content This new edition also provides checklists and diagrammatic explanations and illustrations, along with essential new material on: Insolvency legislation Customer issues including: unfair contract terms, treating customers fairly, best execution Liquidity risk 4 KEY reasons why you need a copy of this book: Provides a clear explanation of the risk management terms and techniques relevant to a financial institution Practical and easy-to-follow - it bridges the gap between the risk modelers and those who have no risk measurement expertise but who are inevitably involved in the risk m