Issue
Risk & Capital Management are core process at the heart of every successful business and should be integrated into corporate strategy and organizational culture. Increasingly, regulators and stakeholders are expecting nothing less, although many companies are still viewing it merely as a regulatory compliance issue.

Companies are dealing with many challenges in this area, such as the need for efficient capital management, tackling market risk in relation to complex financial instruments and uncertain equity markets, growing concern over consumer debt and continuing large credit losses. Key issues currently include Basel for banks and Solvency II for insurers.

The question of fraud and anti-money laundering continues to challenge organizations across the financial services industry. In order to tackle these challenges effectively and meet regulator and shareholder requirements, significant investment in people, processes and systems is required.

Impacts include:

• Development and use of sophisticated tools and techniques to manage and mitigate risks whilst maximizing the return on capital
• Continued development of credit risk management techniques
• The need to embed successful anti-fraud and anti-money laundering policies into standard business practice
• Need for a greater understanding of market risk in relation to complex financial instruments and volatile and uncertain equity market performance.

How can KPMG Czech Republic help?

• Financial Risk Management

– Credit Risk Management
– Market Risk Management
– Operational Risk Management
– Liquidity Risk Management
– Treasury Risk Management
– Economic Capital

• Basel II

• Solvency II

• Information Risk Management

– Information security
– Business continuity planning
– Disaster recovery