Policies And Procedures - Grc Institute: Fill & Download for Free

You need to know everything about Capital Markets at least.Investment Banking and Asset Management Sector /brokerage require an exceptional understanding of debt and equity market instruments and asset classes.Sound knowledge of derivative markets will add to your CV.Risk Management in AMC's / IBs is more tilted towards Market risk analysis and modelling. IRM / ERM activities are usually not well coordinated, as most of the risk controllers continue to work independently, across specialized silos.Unlike Commercial Banks and other deposit-taking institutions, which adhere to the BASEL II / III ERM and Risk Capital Management Guidelines.In the AMC and Brokerage sector, they are general investment conventions and guidelines which are followed, such as the GIPS (GLOBAL INVESTMENT PROFESSIONAL STANDARDS), as issued by the CFA Charter body aka AIMR.Also, Compliance with the Investment Policy of each fund is essential. Risk units normally track Compliance with the required standards. For e.g. an Equity Index Tracker Fund will require a completely different set of internal / risk controls and compliance standards, compared to a Sectoral ETF, a Money Market Fund, an Aggressive Asset Allocation Fund, or a Bond Fund for that matter.Secondly, you can generally apply the COSO or ISO31000 framework to develop a governance, risk and compliance architecture at any company.OECG issued GRC Guidelines can also come in handy when developing Operational Risk Frameworks and overall Compliance Standards and benchmarking performances.However, in the context of certain cases, a further enhanced understanding of the CIP/AML / KYC / CTF will also be helpful. Most of the Mutual funds and other investment vehicles have a strong Compliance Desk, which proactively oversees AML and CTF Controls.So you within the risk department, might end up monitoring & controlling such operational risks.Overall you should be able to do the following =>Identify risks (KRIs).Measure RisksManage RisksMonitor RisksReview RisksRebalance and realign your Activities as per Risk -Reward Measures.Develop Policies and Procedures to support the above.

Source: Compliance Management Solution by 360factors.com5 Benefits of an Effective Compliance Management SolutionIn the aftermath of 2007 housing bubble and market crash, the banking world has inculcated a changed vision towards liquidity risks. This spontaneous change in the outlook has been responsible for the creation of new regulations by regulatory bodies like Federal Reserve Board and Office of the Comptroller of the Currency. A number of studies have been done by speculators and experts with the intention of devising a perfect strategy for countering liquidity risks. A study done by Centre for Research in Economics and Management has ended with the conclusion that higher liquidity measured by a credit risk ratio is associated with low profitability for bigger players in the banking industry. However, for smaller banks there is a positive relationship between liquidity and profitability. Therefore, it becomes imperative for small- and medium-scale banks to cut down on liquidity risks by employing a sound and foolproof system. An efficient Compliance Management System (CMS) not only helps in cutting down the number of liquidity risks, but also reduces other financial and security risks prevalent in the market. Such a software system can be procured for risk-free operations in the turbulent banking world.Bank Managers and Liquidity RisksBanks perform the task of converting liquid assets into illiquid assets like loans. This task is riddled with risks and requires effective management for it to be fruitful in the long run. As managers in smaller banks have a greater role to play in the decision-making process, they are at a greater risk for getting lambasted for their actions than the managers in larger banks. It is imperative for them to procure an effective Compliance Management Solution to help them perform their duties and reduce risks. Let us discuss the top five benefits of Compliance Management System:1. Helps Maintain Business Process Workflow to Minimize RiskCompliance Management Solution comes with a variety of features with amazing benefits, the most important of them being its ability to integrate a variety of business processes. It serves as a central repository where business critical information is saved and can be shared amongst stakeholders. By allowing selective and restricted access to employees, it ensures members of the organization receive only the intended information that they are authenticated for. Proper dissemination of information eliminates silos and makes for a well-connected work environment. It is extremely beneficial in companies with a complex multi-department system.2. Ensures Security of the System via AuthenticationAs mentioned in the previous point, in CMS, employees are authenticated before they gain access to the organization’s portal. This means vital information never ends up in the wrong hands. Authentication is an important security feature of the Compliance Management Solution and one of its major benefits.3. Helps Assess Risks in Multiple AreasA CMS helps in assessing risks in all Governance Risk and Compliance (GRC) functional areas. The major areas covered by CMS are:Internal auditRisk registersQuality managementFinance and operationsCompetencyRegulatory compliance and reputationBy assessing risks for all the aforementioned fields and disciplines in the GRC, it provides valuable inputs that can be used to eliminate liquidity and market risks.4. Helps Map Requirements with ActivitiesBy employing an CMS, every audit and corrective action can be mapped to the requirements that drive the activity. As requirements change, the management process also changes accordingly. This mechanism helps drive the management process forward. This is visible across the organization. Notifications can be assigned on the Compliance Calendar for the responsible staff for activities completion.5. Collaborates with ABA PoliciesThe American Bankers Association (ABA) is an advocate of the rights of American banks and plays a vital role in regulatory procedures. Compliance Management Solution works in collaboration with ABA policies and helps in the proper functioning of banks and financial institutions. By working according to the guidelines set by ABA, it helps in reducing the number of liquidity and financial risks.Gain Ground on Your Competition with the Power of Artificial Intelligence (AI)For the purpose of effective risk management, the power of AI can be harnessed in the form of the Predict360’s configurable Compliance Management Solution. This cutting-edge software has the ability to identify, quantify, monitor, and manage risks; and it can help a great deal in improving risk and compliance management processes employed in banks and financial institutions.