To understand the scope and future of risk management in financial services sector, FIIB is organizing a National Finance Conclave on Risk Management Practices in Financial
For years, risk management has been an exercise undertaken in fear, as a means to address compliance-driven activities. This was perceived as an act to protect the organization and meet its necessary obligations. Now, that viewpoint has changed. Today, forward-thinking managers view risk management as an opportunity to create value and drive organizational performance. Thus, risk management is reimagined as a performance enabler. Globally, companies view risk analysis and management as a powerful tool to derive utility across various spheres of functioning and services, ranging from product cross-selling, financial crime management and regulatory compliance management.
Economic positions, trade competition and war, and changing government policies and compliance frameworks globally have made India prone to risk across various sectors of businesses, particularly in the financial services sector. Banking and financial services sectors play a crucial role in boosting the consumption, saving and investment. And so, the ability of doing a tradeoff between risk and return plays a major role in retaining the profitability and customer satisfaction; so, risk management becomes a performance enabler.