外文翻译--在金融机构的有效风险管理.doc

外文翻译-在金融机构的有效风险管理 外文原文Effective risk management in financial institutionsAbstractRisk management is more important in the financial sector than in other parts of the economy But it is difficult The basis of banking and similar financial institutions is taking risk in conditions of uncertainty Describes how the Turnbull report for which the author was project director created a new underlying approach to risk Provides a guide to the way in which the various Turnbull ideas have become the bedrock of risk management and suggests how they can be developedThere can be few if any parts of the economy in which risk management is more important than the financial sector Financial institutions account for a sizeable number of the worlds leading companies and have a critical role to play in the economics of every country and thus in world economic order as a whole Their whole business is centred on taking risks in conditions of uncertainty The Turnbull Report on risk management and internal control which is applicable to all listed companies in the UK and which has been widely disseminated internationally fully recognises this fundamental point Its focus is on effective risk management and not the elimination of risk In a modern competitive market economy business organisations that are risk averse are unlikely to earn satisfactory returns On the other hand highly volatile returns are unlikely to find favour with capital markets anxious not to be surprised particularly by bad news Moreover Turnbull is as much about doing the right things and not missing strategic opportunities as it is about doing things right essential if a company is to achieve its full potential Applying Turnbulls approach may lead to some financial institutions realising that they are not taking enough risk perhaps a new market can be identified and while there may be clear risks in being the first to enter there may equally be significant first-mover advantages to be gainedA framework not a rule bookThe Turnbull Report also recognises the dynamic nature of markets in which an organisation operates and seeks to encourage companies to create risk management systems that can continually adapt to changing circumstances To avoid particular controls being seen as an end in themselves even once their usefulness has ceased the guidance places internal controls firmly in their broader business context they are only of value to the extent that they help businesses to control the risks that threaten the achievement of their business objectives In summary Turnbull offers a framework rather than a rulebook which each organisation can apply to its own circumstances to develop an appropriate internal control systemThe importance of sound judgementThe fact that Turnbull eschews a tick-box approach has been well received by the business community however it does mean that judgement plays a vital role in establishing an effective internal control system starting at board level Making sure that judgement is sound is perhaps the greatest single challenge involved in risk management No system and no amount of internal controls will prevent losses if the judgement on which business decisions are based is poorJudgement comes into play in initially establishing clearly defined business objectives identifying the risks to achieving those objectives prioritising how great a threat those risks pose and then determining appropriate responses in the form of developing internal control systemsJudgement is also called for in terms of applying cost-benefit analysis to the merits of adopting specific controls It is clearly worthwhile for a bank to undertake credit checks before granting loans but a cost-benefit approach will promote systems that focus staff time on the potentially high risk loans and on developing early warning systems when loans are not performing rather than selecting a one size fits all approachIdentification issuesRisks that threaten a financial institutions objectives will often range from highly function-specific risks through to strategic big picture issues Consider the foreign exchange trading activity in a major bank There is clearly a risk that an individual trader left to operate free of internal controls can run up significant losses This risk is located in a defined area of the banks activities but its potential wide-ranging impact should not be underestimated As Barings so visibly demonstrated operational problems in a financial institution can be life-threatening probably to a greater extent than operational problems in many other businessesAt the other end of the spectrum lie a whole range of market-related strategic risks for example the threat that supermarkets will increasingly capitalise on their existing customer relationships to gain a larger share of the retail financial services market or that closing down bank branches in rural locations will trigger accusations of a lack of social concern and damage the banks public image and possibly its brand value even though the decision may be financially supportable With market concentration growing at national regional and global levels it is also essential in many cases not only to select the right strategic partner for growth but also to ensure relevant deals can be successfully concluded Identifying the take-over candidate or strategic alliance partner is but the start of the process Care needs to be taken to manage the risk associated with regulatory intervention and to avoid the emergence of a hostile bidder to an agreed deal As a number of British financial institutions have discovered in recent years the price in terms of continued independence of a high profile abortive deal can be highKeep control of your reputationReputational risk is a major issue for the entire financial services sector given the fundamental need for customers to believe in the stability and security of an organisations operations if they are to continue trusting it to handle their affairs Furthermore as the pensions mis-selling affair demonstrated there is a need for trust both in the individual institution and in the sector as a whole of which it forms part This therefore calls on some occasions for collaborative as opposed to solely competitive risk management strategies as may also be the case in for example combating credit card fraud or on some IT security issues In retail banking the reputation of individual banks could become much more of an issue in the years ahead with customers being increasingly tempted to consider the advantages of switching between high street banks both as a result of the costs of switching being reduced and due to the influx of new market entrants The recent questioning of the independence of analysts forecasts will also need to be addressed robustly if long-term reputational repercussions are to be avoidedAssessing the importance of risksIdentifying the existence of potential risks does not necessarily mean that action is required to mitigate all of them Risks must be prioritised by means of assessing the likelihood of their occurring and the extent of their impact high likelihood and high impact suggesting high priority for actionVerifying your judgementsWhen identifying and prioritising risks financial institutions need to have regard to the concept of verifiability in other words if a different group of people were making the same decisions about the importance of those risks would they be likely to come to the same conclusion This is obviously more likely to be the case if a wide range of people from a broad cross-section of the business both laterally and vertically is involved in the risk identification and assessment process and if there are no taboo subjects which prevent conventional wisdom within the organisation being challenged when necessaryExternal views of risk must also be fed into the identification and assessment process What is the markets view of interest rate developments How are personal investments expected to change in the coming years In the case of regulated areas such as financial services the organisations perceived view of how its principal regulator views it will be of interest but also an assessment will be needed of how the overall regulatory environment is likely to develop including in competition terms and the impact of international developments such as those being brought about by the Lampfalussy report in the EUChange managementOne of the key challenges running across the entire process of identifying and assessing risks is that the business and financial world is in a constant state of flux How is the emergence of Internet banking changing the way that retail customers interact with their bank How important is 24-hour access to account details What does this mean for the maintenance of IT systems Do people really want to be able to change their bank details using their mobile phone How do you manage call centres effectively to ensure that this new form of bankcustomer interface maintains the banks brand valuesSome new or changing market conditions will develop gradually over time while others may sweep the market quickly Given this dynamic background the internal control framework must be regularly reviewed and adjusted to take account of changing market conditions It is managements role to recommend policies for managing risk the boards role to review and approve them and managements role once more to implement them and report back on their operationCoping with risk in the midst of change is particularly key when an industry is going through a period of consolidation Merger and acquisition activity brings inevitable disruption as previously distinct cultures and systems are consolidated into a new combined entity The risk management implications of such proposals need to be carefully considered before during and after the merger processEmbedding risksThe ability to respond to changing conditions largely relies on the internal control system being embedded in the banks operations This is a complex process involving a range of activities including the effective communication of and reporting on the banks risk management policies at all levels the development of risk training courses the involvement of staff in responding to early warning systems channels for reporting suspected control breaches and generally the creation of a positive risk management cultureThe process of embedding risks should not however be allowed to lead to complacency or passivity within the organisation The fact that systems are in place a control manual exists and staff have been trained in risk management as part of their daily activities does not mean that systems are infallible as they will always be dependent at least to some extent on the people operating them and for example when staff morale is low more mistakes accidentally or deliberately are likely to occurCultural challengesCulture is also key in terms of creating an environment where dealing losses and real or suspected control breaches can and will be reported If the prevailing culture is one of blame without just cause then there is a high chance that individuals will see it as in their own self-interest to try to cover up problems Many organisations are also now developing whistleblowing procedures to ensure concerns can be reported confidentiallyRemuneration issuesThe banks remuneration policies have an important role in reinforcing or undermining the internal control environment Take the bonuses paid out at the end of each year The factors determining the size of the payout are likely indeed intended to shape employees behaviour Consider the trader who has had a bad patch and whose bonus is under threat Heshe might react by taking increasingly greater risks in the attempt to reach hisher target Alternatively heshe might lose interest in hisher performance until the start of the next bonus period Either way the banks overall performance could be affected by hisher actions However if the bonus is based on long-term performance then heshe is far more likely to maintain an optimal effort level over the longer termManagement not eliminationThe Turnbull approach emphasises risk management not risk elimination Financial institutions must take risk but they must do so consciously Establishing the appropriate cultural framework needs the support of all staff in the process of identifying monitoring and controlling risks Risk management must be seen as an ongoing and valued activity with the board setting the example It is without doubt a challenging agendaSource Anthony Carey 2001Effective risk management in financial institutions Journal of Risk Finance Februarypp24-27中文译文在金融机构的有效风险管理风险管理金融经济的其他部分更重要但是困难的银行和类似金融机构是在不确定的情况下采取风险如何描述特恩布尔报告作者是项目创建了一个新的基本方针风险提供了一个各种特恩布尔想法成为风险管理的基石建议他们如何能够发展指南如果有的话可以有这种风险管理比金融部门重要经济金融机构世界领先公司在世界经济秩序们的整个业务集中在不确定的情况下采取风险特恩布尔报告对风险管理和内部控制是适用于英国所有上市公司已国际上广为重点是有效的风险管理而不是消除风险在现代竞争的市场经济企业组织另一方面极不稳定的回报是不可能有利于资本市场尤其是坏消息此外特恩布尔是做正确的事情一家公司要实现其全部潜力应用法可能导致一些金融机构意识到他们并没有采取足够的一个新的市场一框架而规则特恩布尔报告还了市场的动态性中一个组织的运作旨在鼓励企业建立风险管理系统不断地适应变化的情况为了避免甚至一度了它们的他们业务总之特恩布尔提供了一个框架每个组织可以自己的情况制定适当的内部控制而不是一个规则手册特恩布尔回避标记框方法深受企业界意味着董事会层面开始判建立有效的内部控制系统重要作用确保判是合理的也许是风险管理最大单一挑战如果商业决策判断没有系统内部控制防止损失判断来自于初步建立明确的业务目标实现这些目标风险优先考虑风险构成威胁有多大然后确定发展内部控制系统的形式作出适当反应还要运用成本效益分析以采取具体控制方面的优点这显然发放贷款值得但成本效益方式将促进系统着眼于潜在的高风险贷款工