|
|
 |
|
Viewing report
|
|
|
|
ARCHIVE | Criteria | Insurance | General: Evaluating Risk Appetite: A Fundamental Process Of Enterprise Risk Management Oct 06
Standard & Poors, Oct 2006
Abstract
An important aspect of enterprise risk management (ERM) is the process governing risk appetite, which keeps risk and potential losses within tolerances set in advance by the enterprise. The robustness and integrity of a firm's ERM practices hinge to a great extent on its articulation of the various risk tolerances or risk limits established through its risk appetite process. As sound ERM depends critically on the firm's risk tolerances, clearly articulated risk tolerances, both in qualitative terms as well as quantitatively, are a key factor in Standard & Poor's determination of the quality of a firm's risk management culture and risk governance process. The risk appetite process should dovetail with the business strategy and the overall risk culture of the...
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Commentary
Criteria articles describe the thought process and methodology Standard & Poor's analysts use in determining ratings. These commentary pieces discuss both the quantitative (economic and financial) and qualitative (business analysis and caliber of management) aspects of the analysis, as well as legal issues.
|
|
|
|
