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The Risk Controllers

The Risk Controllers
Author: Peter Norman
Publisher: John Wiley & Sons
Total Pages: 403
Release: 2011-09-07
Genre: Business & Economics
ISBN: 1119977940

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Clearing houses, or CCPs, were among the very few organisations to emerge from the global financial crisis with their standing enhanced. In the chaotic aftermath of the bankruptcy of Lehman Brothers, they successfully completed trades worth trillions of dollars in a multitude of financial instruments across listed and over-the-counter markets, and so helped avert financial Armageddon. That success transformed the business of clearing. Governments and regulators around the world gave CCPs and the clearing services they provide a front-line role in protecting the global economy from future excesses of finance. CCPs, which mitigate risk in financial markets, responded by greatly expanding their activities, notably in markets for over-the-counter derivatives, and often in fierce competition with one another. In The Risk Controllers, journalist and author Peter Norman describes how CCPs operate, how they handled the Lehman default, and the challenges they now face. Because central counterparty clearing is a complex business with a long history that continues to influence decisions and structures even in today’s fast changing world, The Risk Controllers explores the development of CCPs and clearing from the earliest times to the present. It draws on the experiences of the people who helped to shape the business of clearing today. It sets the development of CCPs and clearing in the broader context of changes in society, politics and regulation. The book examines turning points, such as the 1987 stock market crash, that set clearing on a new path and the impact of long running trends, including the exponential growth of computer power and the ebb and flow of globalisation. Written in non-technical language, The Risk Controllers provides a unique and accessible guide to CCPs and clearing. It is essential reading for clearing professionals, legislators and regulators whose job it is to take this vitally important business into the future. “The recent crisis has, thankfully, renewed interest in the importance of central counterparties: how they can help preserve stability or, as Hong Kong showed in 1987, undermine stability if they are not super sound. Peter Norman’s book places the role of clearing houses in a historical context, and explains why the financial system’s plumbing matters so much. It should be read by anyone interested in building safer capital markets.” Paul Tucker, Deputy Governor Financial Stability, Bank of England


Intelligent Internal Control and Risk Management

Intelligent Internal Control and Risk Management
Author: Matthew Leitch
Publisher: CRC Press
Total Pages: 270
Release: 2016-05-23
Genre: Business & Economics
ISBN: 131711485X

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Many people in organizations resent internal control and risk management; these two processes representing unwelcome tasks to be completed for the benefit of auditors and regulators. Over the last few years this perception has been heightened by the disastrous implementation of section 404 of the Sarbanes-Oxley Act of 2002, which is generally regarded as having been too expensive for the benefits it has brought. This important book offers a way of improving this prevailing perception and increasing the value of control and risk management by bringing creativity and design skills to the fore. The value of risk and control activities is often limited by the value of the control ideas available and so Matthew Leitch provides an arsenal of 60 high performance control mechanisms. These include several alternative ways to design controls and control systems, as well as providing controls for monitoring and audit, controls for accelerated learning, and techniques for finding and recovering cash. This design material is combined with insights into the psychology of risk control, strategies for encouraging helpful behaviour and enabling change, and a surprisingly simple integration of internal control with risk management. The book is realistic, practical, original, and easier reading than most in the field. The material is not specific to any one country and has international appeal for internal auditors and all those concerned with risk management, corporate governance and security.


Trading Risk

Trading Risk
Author: Kenneth L. Grant
Publisher: John Wiley & Sons
Total Pages: 277
Release: 2011-01-19
Genre: Business & Economics
ISBN: 1118045823

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Revolutionary techniques that traders can implement to improve profits and avoid losses No trader, professional or individual, can afford not to have a solid risk management program integrated into his or her trading system. But finding a precise mathematical model to replace subjective decision-making processes is a challenge. Traditionally, risk management has focused solely on loss avoidance, but in Trading Risk, hedge fund risk manager Kenneth Grant presents some-thing completely new—how to manage a portfolio to minimize risk and increase profits by putting more capital at risk. Trading Risk details a risk management program that can help both money managers and individual traders evaluate which elements in a portfolio are working efficiently and which aren’t. By illustrating an extremely simple set of statistical and arithmetic tools this book can help readers enhance their performance in many financial markets. Kenneth L.Grant is Cheyne’s Global Risk Manager, and is the Managing Member for Cheyne Capital, LLC, the firm’s U.S. arm. Mr. Grant is a pioneer in the field of hedge fund risk management and capital allocation. Before joining Cheyne, he created risk control programs at two of the world’s leading hedge funds, Tudor Investments and SAC Capital, where he was eventually promoted to the title of Chief Investment Strategist. Mr. Grant holds a Bachelor of Science in Economics and Mathematics from the University of Wisconsin, an MA in Economics from Columbia University, and an MBA from the University of Chicago Graduate School of Business.


What on Earth Can Go Wrong

What on Earth Can Go Wrong
Author: Richard Fenning
Publisher: Eye Books (US&CA)
Total Pages: 199
Release: 2021-02-01
Genre: Business & Economics
ISBN: 1785632450

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Richard Fenning has spent three decades advising multinational companies on volatile geopolitics and severe security crises. He was CEO of the British firm Control Risks for 14 years. His career coincided with the glory years of globalization, the rise of China, the tumult of the Middle East wars, a new vicious form of terrorism, the transforming impact of digital technology, and America's retreat from leadership. Offering him a rare insight into what happens when people and organizations come under enormous stress, it dispelled any illusions that the world is ordered, predictable, or fair. But amid the chaos and upheaval, he also found humanity and humor. In a whirlwind tour that takes us from the battlefields of Iraq to the back streets of Bogotà, from the steamy Niger delta to the chill of Putin's Moscow, he looks back with wit and insight on the people and places he has got to know, while also offering some timely thoughts about the relationship between risk and danger in a terrifyingly changeable world.


Operational Risk Management

Operational Risk Management
Author: Jasmijn Bol
Publisher: Business Expert Press
Total Pages: 204
Release: 2021-05-15
Genre: Business & Economics
ISBN: 1637420137

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To remain viable, let alone competitive, organizations must manage risks. In this book, we explore the concept of operational risk as well as the mechanisms used to diminish the impact and occurrence of risks: the organizational control system. Since the scope and scale of operational risks are unique to each organization, our objective is to explain the theory behind why and how managers respond to the unique combination of threats that challenge their organization. We emphasize employee management and the complexities surrounding the design of management controls, incentive systems in particular, because risks related to employee actions are faced by virtually every organization. Overall, we provide empirically grounded insights into the process of diagnosing operational risks as well as designing, implementing and maintaining a control system that properly manages those risks.


Enterprise Risk Management

Enterprise Risk Management
Author: David L Olson
Publisher: World Scientific Publishing Company
Total Pages: 244
Release: 2015-01-21
Genre: Business & Economics
ISBN: 9814632783

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Risk is inherent in business. Without risk, there would be no motivation to conduct business. But a key principle is that organizations should accept risks that they are competent enough to deal with, and “outsource” other risks to those who are more competent to deal with them (such as insurance companies). Enterprise Risk Management (2nd Edition) approaches enterprise risk management from the perspectives of accounting, supply chains, and disaster management, in addition to the core perspective of finance. While the first edition included the perspective of information systems, the second edition views this as part of supply chain management or else focused on technological specifics. It discusses analytical tools available to assess risk, such as balanced scorecards, risk matrices, multiple criteria analysis, simulation, data envelopment analysis, and financial risk measures.


Command and Control

Command and Control
Author: Eric Schlosser
Publisher: Penguin
Total Pages: 656
Release: 2013-09-17
Genre: History
ISBN: 1101638664

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The Oscar-shortlisted documentary Command and Control, directed by Robert Kenner, finds its origins in Eric Schlosser's book and continues to explore the little-known history of the management and safety concerns of America's nuclear aresenal. “Deeply reported, deeply frightening . . . a techno-thriller of the first order.” —Los Angeles Times “A devastatingly lucid and detailed new history of nuclear weapons in the U.S. . . . fascinating.” —Lev Grossman, TIME Magazine A myth-shattering exposé of America’s nuclear weapons Famed investigative journalist Eric Schlosser digs deep to uncover secrets about the management of America’s nuclear arsenal. A groundbreaking account of accidents, near misses, extraordinary heroism, and technological breakthroughs, Command and Control explores the dilemma that has existed since the dawn of the nuclear age: How do you deploy weapons of mass destruction without being destroyed by them? That question has never been resolved—and Schlosser reveals how the combination of human fallibility and technological complexity still poses a grave risk to mankind. While the harms of global warming increasingly dominate the news, the equally dangerous yet more immediate threat of nuclear weapons has been largely forgotten. Written with the vibrancy of a first-rate thriller, Command and Control interweaves the minute-by-minute story of an accident at a nuclear missile silo in rural Arkansas with a historical narrative that spans more than fifty years. It depicts the urgent effort by American scientists, policy makers, and military officers to ensure that nuclear weapons can’t be stolen, sabotaged, used without permission, or detonated inadvertently. Schlosser also looks at the Cold War from a new perspective, offering history from the ground up, telling the stories of bomber pilots, missile commanders, maintenance crews, and other ordinary servicemen who risked their lives to avert a nuclear holocaust. At the heart of the book lies the struggle, amid the rolling hills and small farms of Damascus, Arkansas, to prevent the explosion of a ballistic missile carrying the most powerful nuclear warhead ever built by the United States. Drawing on recently declassified documents and interviews with people who designed and routinely handled nuclear weapons, Command and Control takes readers into a terrifying but fascinating world that, until now, has been largely hidden from view. Through the details of a single accident, Schlosser illustrates how an unlikely event can become unavoidable, how small risks can have terrible consequences, and how the most brilliant minds in the nation can only provide us with an illusion of control. Audacious, gripping, and unforgettable, Command and Control is a tour de force of investigative journalism, an eye-opening look at the dangers of America’s nuclear age.


Operational Risk Management

Operational Risk Management
Author: Philippa X. Girling
Publisher: John Wiley & Sons
Total Pages: 354
Release: 2013-10-14
Genre: Business & Economics
ISBN: 1118532457

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A best practices guide to all of the elements of an effective operational risk framework While many organizations know how important operational risks are, they still continue to struggle with the best ways to identify and manage them. Organizations of all sizes and in all industries need best practices for identifying and managing key operational risks, if they intend on exceling in today's dynamic environment. Operational Risk Management fills this need by providing both the new and experienced operational risk professional with all of the tools and best practices needed to implement a successful operational risk framework. It also provides real-life examples of successful methods and tools you can use while facing the cultural challenges that are prevalent in this field. Contains informative post-mortems on some of the most notorious operational risk events of our time Explores the future of operational risk in the current regulatory environment Written by a recognized global expert on operational risk An effective operational risk framework is essential for today's organizations. This book will put you in a better position to develop one and use it to identify, assess, control, and mitigate any potential risks of this nature.


Dead Reckoning

Dead Reckoning
Author: Diane Vaughan
Publisher: University of Chicago Press
Total Pages: 694
Release: 2021-09-30
Genre: Science
ISBN: 022679654X

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Vaughan unveils the complicated and high-pressure world of air traffic controllers as they navigate technology and political and public climates, and shows how they keep the skies so safe. When two airplanes were flown into the World Trade Center towers on September 11, 2001, Americans watched in uncomprehending shock as first responders struggled to react to the situation on the ground. Congruently, another remarkable and heroic feat was taking place in the air: more than six hundred and fifty air traffic control facilities across the country coordinated their efforts to ground four thousand flights in just two hours—an achievement all the more impressive considering the unprecedented nature of the task. In Dead Reckoning, Diane Vaughan explores the complex work of air traffic controllers, work that is built upon a close relationship between human organizational systems and technology and is remarkably safe given the high level of risk. Vaughan observed the distinct skill sets of air traffic controllers and the ways their workplaces changed to adapt to technological developments and public and political pressures. She chronicles the ways these forces affected their jobs, from their relationships with one another and the layouts of their workspace to their understanding of their job and its place in society. The result is a nuanced and engaging look at an essential role that demands great coordination, collaboration, and focus—a role that technology will likely never be able to replace. Even as the book conveys warnings about complex systems and the liabilities of technological and organizational innovation, it shows the kinds of problem-solving solutions that evolved over time and the importance of people.


A Risk Professionals Survival Guide

A Risk Professionals Survival Guide
Author: Clifford Rossi
Publisher: John Wiley & Sons
Total Pages: 573
Release: 2014-10-20
Genre: Business & Economics
ISBN: 1118953045

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Balanced, practical risk management for post – financial crisis institutions A Risk Professional's Survival Guide fills a critical gap left by existing risk management texts. Instead of focusing only on quantitative risk analysis or only on institutional risk management, this book takes a comprehensive approach. The disasters of the recent financial crisis taught us that managing risk is both an art and a science, and it is critical for practitioners to understand how individual risks are integrated at the enterprise level. This book is the only resource of its kind to introduce all of the key risk management concepts in a cohesive case study spanning each chapter. A hypothetical bank drawn from elements of several real world institutions serves as a backdrop for topics from credit risk and operational risk to understanding big-picture risk exposure. You will be able to see exactly how each rigorous concept is applied in actual risk management contexts. This book includes: Supplemental Excel-based Visual Basic (VBA) modules, so you can interact directly with risk models Clear explanations of the importance of risk management in preventing financial disasters Real world examples and lessons learned from past crises Risk policies, infrastructure, and activities that balance limited quantitative models This book provides the element of hands-on application necessary to put enterprise risk management into effective practice. The very best risk managers rely on a balanced approach that leverages every aspect of financial operations for an integrative risk management strategy. With this book, you can identify and control risk at an expert level.