GARP FRM

New in : Why filing “similar but distinct” cyber incident reports to multiple agencies diverts resources from dealing with attacks and their aftermath, critics say.

https://www.garp.org/risk-intelligence/technology/there-more-cyber-240913

There Is More to Cyber Incident Reporting Than SEC Disclosure Requirements Critics say filing “similar but distinct” reports to multiple agencies diverts resources from addressing attacks and their aftermath. Explore more!

What do sustainability and climate risk professionals need to know about the emerging discipline of nature risk management?

Swipe to learn more. 🌍🍃

https://bit.ly/3TI8Fb6

is now established and legitimized in post-financial crisis regulations as a contributor to bringing misconduct to light. But it can also do significant damage to a company's reputation.

https://bit.ly/4g7adWB

Whistleblowing, and How It Pays Regulators boost rewards for enforcement help; SEC notes “unprecedented” public participation. Read more!

Got some down time this weekend? Why not learn more about the benefits of mastering the fundamentals of AI risk?

There's never a bad time to develop skills that can help your organization, either prospective or current, implement safe, trustworthy, AI-driven business solutions.

Explore GARP's new Risk and AI (RAI™) Certificate! https://www.garp.org/rai

Are you ready to gain the knowledge you need to harness the power of AI? Registration for our brand-new Risk and AI (RAI™) Certificate Program opened today!

Get started on your risk and AI journey now: https://www.garp.org/rai

New in : With financial institutions seem to be more focused on geopolitical risk than on data-driven credit risk issues, we ask: Is this a worthy tradeoff?

https://bit.ly/3LxfrNt

The Art of Distinguishing Real Risks from Pretenders Risk managers focus heavily on extreme tail-risk scenarios like geopolitical threats, but should they prioritize traditional credit risks instead? Read more!

Banks that grow too fast are prone to failure, especially when they lack proper governance and risk management frameworks. But there are steps they can take to keep pace with rising product complexity and to avoid excessive risks.

In , we explore how to avoid the risk management growth trap.

https://bit.ly/46dZ7L2

Avoiding the Risk Management Growth Trap Rapidly growing banks risk failure without proper governance and risk management. Steps can be taken to manage rising product complexity and avoid excessive risks. Discover more!

Today’s stress tests rely on antiquated approaches that do not consider the full spectrum of banks’ specific exposures to different macroeconomic variables. There are, however, dynamic, proactive techniques for discovering scenarios that banks and their supervisors can employ to better account for extreme market uncertainty.

We explore more in our newest story.

https://bit.ly/3WcmDU5

The Stress Testing Road Ahead: How to Prevent Future Bank Failures Current stress tests overlook the full range of banks’ specific exposures to macroeconomic variables. Dynamic techniques can better address extreme market uncertainty. Explore more!

In this special episode of the Climate Risk Podcast, we hear from Tony Rooke, Executive Director at Howden Group Holdings and Beth Gould Creller, GARP’s Sustainability & Climate Risk Program Lead, as they discuss the recent improvements to the SCR Program's syllabus and learning experience.

https://bit.ly/4cMWXVa

New in : Risk models today are asked to perform statistical miracles, covering a multitude of far-flung scenarios that cannot be validated. However, this approach simply isn’t realistic.

https://bit.ly/3Xy0dPo

The Limitations of Models and the Need for Simpler Scenarios Risk models today attempt to cover unrealistic, unvalidated scenarios. Focusing on fewer, recent-event scenarios improves projection accuracy. Explore more!

New in : After adjusting bank CRE concentration ratios for banks’ unrecognized mark-to-market interest rate losses, data shows even modest CRE loan stress losses could test the solvency of hundreds of banks.

https://bit.ly/3zjd3qw

Commercial Real Estate and Bank Systemic Risk Highlighting data on real estate loan quality, concentration risk, and "market-value insolvency.". Discover more!

Today, we honor Juneteenth, a pivotal event in our history.

We're taking a moment to celebrate diversity and reflect on the ongoing journey toward racial equality.

Regulators will see transaction-level data on “non-centrally cleared bilateral” – the last and biggest repurchase-agreement segment where transparency was lacking.

https://bit.ly/4cn5f5t

New Reporting Rule Brings Repo Transactions Out of the Shadows Regulators will now see transaction-level data on "non-centrally cleared bilateral" repos, the last and biggest segment lacking transparency. Read more!

As technologies like AI, machine learning, and cryptocurrencies have evolved and been integrated into risk frameworks, risk management has advanced – but there are still blind spots.

Start your weekend off with "Rethinking Technology Risk: Moving Beyond Guns, Gates and Guards" in .

https://bit.ly/4aqIiwO

Rethinking Technology Risk: Moving Beyond Guns, Gates and Guards Traditional risk management emphasized danger over opportunity. With the integration of AI, machine learning, and cryptocurrencies into risk frameworks, the field has evolved, yet persistent blind spots remain. Explore more!

New in : There is a growing appreciation for global systemically important banks. But G-SIBs still face tough risk management standards and high capital requirements.

https://www.garp.org/risk-intelligence/credit/evolving-role-sibs-240607

The Evolving Role of G-SIBs: Is Big Beautiful Again? Global systemically important banks (G-SIBs) face tough risk management and high capital standards, leading some large banks to game the system. Discover more!

Improved coding of PD, LGD and EAD models is one of the potential benefits of this innovative technology. How does this work, and what else can modelers expect from generative AI systems like ChatGPT?

Revisit our recent piece on how generative AI may impact credit risk modeling.

https://bit.ly/44AMj0m

How Generative AI Will Disrupt Credit Risk Modeling Improved coding of PD, LGD and EAD models is one of the potential benefits of this innovative technology. How does this work, and what else can modelers expect from generative AI systems like ChatGPT?

Should a pandemic-era policy response to Treasury market turmoil be reinstated permanently? In we take a new look at the Supplementary Leverage Ratio.

https://bit.ly/3JTWnb8

A New Look at the Supplementary Leverage Ratio Should pandemic-era policy responses to Treasury market turmoil become permanent fixtures? Read more!

New in : What tools can lenders use to assess in real time, and how can models be revised to account for inflation-driven changes in consumer behavior and to protect against financial instability?

Managing Inflation Risks: A Practical Guide Price fluctuations significantly influence spending, investment, and loan default risk. Lenders must employ real-time tools to assess inflation risk and adapt credit risk models to account for changes in consumer behavior driven by inflation, ensuring financial stability. Discover more!

Early registration for August 2024 FRM Exams ends today! Register before the deadline and save USD 200! https://bit.ly/3TPRAxl

New in : When preparing for a merger or acquisition, the treasury team can actively shape its success, assuming a pivotal role in the due diligence, financing, and post-merger integration processes.

https://bit.ly/4aNX9m5

Corporate Treasury Power Play: Strategic Moves to Maximize M&A Success When gearing up for a merger or acquisition, the treasury team plays a critical role in shaping success. From due diligence to financing and post-merger integration, they are key drivers. Discover how their proactive involvement can maximize outcomes. Explore more!

To identify and mitigate risks more effectively, firms must take a more proactive approach to all elements of budget planning. But what specific steps should they take?

We explore in today: https://bit.ly/3xK9ARk

The Budget Brain-Teaser: How to Optimize Capital Market evolution, often spurred by unforeseen events, demands financial institutions to avoid over-reliance on historical data for capital allocation. Proactive risk identification and mitigation necessitate a comprehensive approach to budget planning and actionable steps for enhanced risk managemen...

products can help with , but also often come with perverse incentives that can work against . What are the insurance hazards risk managers need to be aware of, and what specific steps can they take to mitigate them?

When Insurance Becomes a Risk Factor Explore insurance hazards in risk management and learn mitigation strategies. Discover how insurance products, while aiding risk mitigation and distribution, may present perverse incentives. Equip yourself with actionable steps to navigate these challenges effectively. Read more!

In a world of “faster, always on, real-time money flows,” customer withdrawals en masse exacerbated the California-based bank’s catastrophic liquidity squeeze. Social media was less a culprit than it was made out to be.

Revisit "The Run on SVB: How Much Did Technology Have to Do With It?" today: https://bit.ly/3Ts6yYO

The Run on SVB: How Much Did Technology Have to Do with It? Explore the real story behind a California bank's liquidity crisis amid rapid money flows. Social media's role may surprise you. Discover more!

Market participants are told to stay vigilant “to preserve the robust system of reference rates achieved through the decade-long transition effort." https://bit.ly/43ESG2p

Post-Libor Transition, There Remain Refinements to Be Made and Risks to Be Aware of Market participants are told to stay vigilant “to preserve the robust system of reference rates achieved through the decade-long transition effort”. Read more!

What’s the difference between the risks nature imposes on humans and the risks humans impose on nature? We explore in today's : https://bit.ly/3TZbSEM

Nature Risk: The Velociraptor Next Door Explore the nuanced relationship between human-induced and natural risks, with examples and strategies for mitigation. Discover more!

Missed our Financial Risk Symposium? GARP Individual Members can now access the sessions from the event via our member multimedia library.

Log in and get all your Symposium insights on AI, risk management, and everything in between today: https://bit.ly/3xcktem