Final Thoughts

Abstract

Risk management has evolved considerably from its introduction and will continue to evolve as the industry changes and the demands that are placed on risk managers grow. Risk management has tackled a great many areas of risk, but systemic risk and one-offs are a new chapter and require new methods for risk managers to assess and mitigate. While uncertainty was always an element in financial markets, after the crisis, its effects have become more apparent than ever before, and they will continue to dominate the banking and financial services sectors in their many guises. At the same time, we have entered a new post-crisis regulatory age in which banks have to evolve not only to meet regulatory mandates but also to be resilient enough to withstand the uncertainty that regulators themselves introduce.