Managing Risks in Commercial and Retail Banking

A practical guide to the practices and procedures of effectively managing banking risks Managing Risks in Commercial and Retail Banking takes an in-depth, logical look at dealing with all aspects of risk management within the banking sector. It presents complex processes in a simplified way by providing real-life situations and examples. The book examines all dimensions of the risks that banks face both the financial risks credit, market, and operational and the non-financial risks money laundering, information technology, business strategy, legal, and reputational. Focusing on methods and models for identifying, measuring, monitoring, and controlling risks, it provides practical advice backed up by solid theories, without resorting to the use of complicated mathematical and statistical formulas. Author Amalendu Ghosh exposes topics that are usually absent in books on managing banking risk such as design of control framework, risk management architecture, credit risk rating, risk-based loan pricing, portfolio analysis, business continuity planning, and corporate governance. Author has extensive experience with a variety of major banks and institutions worldwide and brings a fresh perspective in the wake of the global finance crisis Presents a novel approach using models of the credit risk rating of different types of borrowers, the methodology for assigning weights for deriving the rating, and the scoring process Covers the essentials of corporate governance and options for credit risk assessment in line with the recommendations made in the New Basel Capital Accord Explains the methodology of risk-based internal audit, including techniques to enable bank branches to switch over from the old transaction-based audit methods With its logical sequence of the aspects of risk management, the book's layout is ideal for presentations, making it a handy tool for risk management training

A practical guide to the practices and procedures of effectivelymanaging banking risksManaging Risks in Commercial and Retail Banking takes anin-depth, logical look at dealing with all aspects of riskmanagement within the banking sector. It presents complex processesin a simplified way by providing real-life situations andexamples.The book examines all dimensions of the risks that banksface--both the financial risks--credit, market, andoperational--and the non-financial risks--moneylaundering, information technology, business strategy, legal, andreputational. Focusing on methods and models for identifyingmeasuring, monitoring, and controlling risks, it provides practicaladvice backed up by solid theories, without resorting to the use ofcomplicated mathematical and statistical formulas.Author Amalendu Ghosh exposes topics that are usually absent inbooks on managing banking risk--such as design of controlframework, risk management architecture, credit risk ratingrisk-based loan pricing, portfolio analysis, business continuityplanning, and corporate governance.* Author has extensive experience with a variety of major banksand institutions worldwide and brings a fresh perspective in thewake of the global finance crisis* Presents a novel approach using models of the credit riskrating of different types of borrowers, the methodology forassigning weights for deriving the rating, and the scoringprocess* Covers the essentials of corporate governance and options forcredit risk assessment in line with the recommendations made in theNew Basel Capital Accord* Explains the methodology of risk-based internal auditincluding techniques to enable bank branches to switch over fromthe old transaction-based audit methodsWith its logical sequence of the aspects of risk management, thebook's layout is ideal for presentations, making it a handy toolfor risk management training