Evolving from Quantitative Risk Management to a High-Performance Risk Management Analytic Framework

As a result of the recent market shocks, banks, capital markets firms and asset managers are rethinking certain issues and focusing on:

1) How to integrate not only risk and reward tradeoffs using portfolio theory, but also how to plan for market shocks;

and

2) The resulting impact of these shocks on the business and its divisions.

Leading financial entities are linking their portfolio risk with the return on capital and integrating market liquidity into their analyses in an attempt to