Risk & Capital Management

We help businesses determine which capital risk management approach fits them best, ensuring that compliance is a natural by-product and not the primary driver. While the regulatory dimensions of capital risk management are growing at an unprecedented pace, it is our understanding of the links between risk, capital and performance that benefits our clients.

Effective capital risk management protects the capital of the firm, avoids financial distress and maintains financial performance within the bounds acceptable to shareholders and debtholders.  If your risk management framework is effectively conceived and implemented it will prevent erosion of the financial capability of your business and allow it to seize opportunities.

Basel II and the Capital Requirements Directive demand levels of sophistication in risk quantification appropriate to the size and complexity of a firm's risk profile.  At the same time, the need to demonstrate an embedded approach requires firms to place risk management at the very top of their agenda and consider widespread governance, risk and assurance regimes, as well as effectively demonstrating 'proof of use' to the FSA.  We can offer an unrivalled track record in delivering workable and highly-effective risk management solutions  and have experience in the following areas:

  • Risk framework design and implementation:
    • addressing strategy and governance for board level approaches to risk
    • building organisational risk management structures
    • data sharing with assurance functions to ensure that their risk management frameworks are effective, efficient and appropriate
  • Risk framework maturity analysis
  • Integration strategies for aligning economic and regulatory capital work streams:
    • project managing the initial ICAS/ICAAP process
    • determining risk materiality and suitability for capital treatment
    • developing quantification techniques for risks outside Pillar II
    • stress testing and scenario analysis
    • helping present assessment results to the FSA
  • Solvency II preparedness for the insurance sector
  • Risk information management systems that are fully configurable, and tailored to meet your specific requirements

For further details of our service, please contact Stuart Shepley, Partner on + 44 (0)870 991 2959 or email stuart.shepley@gtuk.com; or Stephen Kelly on + 44 (0)20 7728 3073 or email stephen.f.kelly@gtuk.com.

For further information about our Business Risk Management and Internal Audit services for the Financial Services sector, including internal audit, process and control assessments and technology risk, please click here.