Advanced Risk Management in Financial Institutions

Price: $1895   Register now

Recommended that you register at least two weeks in advance.

Course Features

  • Course date:02/25/2020
  • Course Duration: 2 Day
  • Level: Advanced
  • Prerequisites: None
  • Method: Live & Virtual
  • Venue: 115 Broadway, NY, NY 10006
  • Time: 9:00 am – 5:00 pm
  • Dress Code: Business Casual
  • Category:
  • Certificate: Yes
  • CPE Credits: 14
  • Course Code: 107

Advanced Risk Management in Financial Institutions

Ever since the 2008 financial crisis, risk management of financial institutions has become much more important not only for financial institutions but also for financial regulators, the media, and taxpayers. Yet, having robust risk management is not an easy endeavor. This two-day course will insure that participants discuss the latest techniques and developments with enterprise wide risk management at financial institutions. Participants will discuss articles and cases to help them utilize best practices to improve risk management at their organizations. The course is interactive and participants are encouraged to ask questions and to participate fully in all discussions. This course assumes that participants have taken introductory risk management courses.

Learning Objectives

After this course, participants will be able to:

  • Discuss and describe models to measure credit, market, operational and liquidity risks
  • Identify mechanics of derivatives to mitigate credit and market risks.
  • Compare and contrast financial institutions which have exhibited good and poor risk management

Day I

Overview of Risk Management

  • Define risk management
    • Identify, measure, control and monitor risks
  • Enumerate and discuss all financial risks
    • Credit
    • Market
    • Operational
    • Liquidity
    • Legal
    • Strategic
  • Discuss case studies for credit, market, and operational risks

Risk Models Used by Financial Institutions

  • Measuring Credit Risk
    • Define and discuss Internal Risk Rating Systems
    • Discuss “measuring risk” in relation to the Credit Value-at-Risk (VaR) approach
    • Explain and apply modern portfolio management techniques
    • Define credit risk management in relation to the VaR approach
    • Discuss the Options Theoretic Model of credit risk
    • Describe the KMV Model

Day II

Risk Models Used by Financial Institutions (continued)

  • Measuring Market Risk
    • Quantify and analyze interest rate risk in banking books
    • Modeling for the trading book
      • Value-at-Risk
      • Expected short fall
    • Measuring Operational Risk
      • Top down and bottom models
      • Discuss data challenges for operational risk models
    • Measuring Liquidity Risk
      • Best practices for asset liability management
      • Gap analysis

Controlling risks

  • Create a list of best practices to improve internal controls
  • Review regulatory guidance to strengthen quality of boards of directors, auditors, and compliance groups
  • Discuss how liquidity and capital assessment reviews can help improve risk management
  • Identify mechanics of different financial derivatives to mitigate credit and market risks
    • Forwards
    • Swaps
    • Options
  • Discuss cases of financial institutions which have exhibited good and poor risk management

Mayra’s Recent Articles:

Almost Half Of America’s Banks Have Less Than Satisfactory Federal Reserve Supervisory Ratings
Leveraged Loan Defaults Are At Highest Level In Two Years
Significant Retail Job Losses At Private-Equity Backed Companies Should Worry Us

Ms. Rodriguez Valladares’ publications relevant to banks, regulations, risk management, and capital markets may be found on her site.


  • Mayra Rodríguez Valladares is the Managing Principal of MRV Associates.  She specializes in training and consulting solutions for Basel III, Dodd-Frank, risk management, financial derivatives, capital markets, foreign exchange, and corporate finance.  She has worked with the private sector and foreign central banks in the US, UK, Latin America Eastern Europe, Central, and Southeast Asia, …
    Continue reading Mayra Rodríguez Valladares