There are proponents "for" and "against" the centralisation of regulation in the financial system and whether it should be managed by Central Banks. Irrespective of what the argument is the real question is not whether it should happen but when it … [Read more]
Alliances in tough economic times
Many banks and financial institutions have been considerably weakened by the financial market crisis and now cannot afford to be highly innovative and take excessive risk. These financial institutions may under these circumstances … [Read more]
Warning signs not enough for Regulators
Warning signs such as the failure of Enron, Arthur Andersen and others during and after the dot.com boom in the late 1990s were not internalised by banks or the financial market. Even though regulators took steps to make sure that the conditions … [Read more]
Regulation cannot be avoided by banks
Plain and simple, banks are important because they introduce efficiencies to the local as well as the global economy. Regulation and supervision of conduct has become an important component of doing business as a bank. Reasons why banks are … [Read more]
Positioning technology with risk management and compliance
On the one hand the fast evolving field of technology and on the other, risk management and compliance. How these functions are brought together and managed can create strategic advantages. The evolution of banking Looking back at banking in the … [Read more]
Bailout of Greece explained
Below is a video clip taking a lighthearted look at the bailout of Greece and just how crazy the steps taken by the Euro Countries have been. Billions of Euros have been spent in the bailout that the Euro Countries simply do not have (yet). Who … [Read more]
Governance, Risk Management and Compliance
What is the difference between Governance, Risk Management, and Compliance? They have become an accepted terms that describe similar related actions and procedures by an organisation. The three terms are closely related, and are increasingly … [Read more]
What is liquidity risk management?
At the onset of the financial market crisis in 2007, many banks had adequate capital levels but they still ended up experiencing serious difficulties when it came to liquidity risk management. They had failed to sufficiently accounted for their … [Read more]