0936211399 HOTLINE The Energy & Resources Industry is asset-intensive. Companies that manage these assets are often confronted with regulatory compliance security and environmental threats as well as aging equipment, maintenance issues, and budget limitations. Each of these aspects can have a huge impact on an organization’s operational external and http://www.expertalmanagement.de/2023/06/26/positive-effects-based-on-data-room-providers/ strategic performance.
A well-rounded strategy for risk management is vital to guard against these risks and ensure that a business can continue to meet the demands of its customers. This article outlines the most important aspects of risk and asset management:
Counterparty risk management focuses on ensuring that the relationships with key players (such as prime brokers and derivative counterparties, as well as clearing banks and custodians) are creditworthy, and it involves implementing security measures that guard against reputational and financial damage resulting from the failure of these partners. This is achieved by vetting vendors, and ensuring the approval process does not only apply to the vendor, but also the service they provide.
Market risk is the potential for a decrease in the value of your portfolio, and it is a common challenge that asset managers as well as risk managers have to deal with but from slightly different perspectives. Portfolio managers manage their market exposures to reduce unintentional betting on markets and other elements while risk management concentrates on tackling crowded trades, leverage, liquidity, expected volatility, and cash flow.
A sound asset and risk management program can help an organization avoid unexpected challenges and maximize the impact of its assets. The three-line governance framework is a potent instrument for identifying and minimizing the risks that could affect the performance of an organization.
