Risk Management Systems: Technology Trends (Finance and Capital Markets)

Cover......Page 1
Contents......Page 6
List of figures......Page 9
List of tables......Page 11
Preface......Page 12
List of abbreviations......Page 14
PART I An Introduction to the Risk Management Process......Page 16
1 What is risk management?......Page 18
Sources and drivers of risk......Page 20
Risk and return......Page 25
Risk management and risk mitigation......Page 29
Approaches to identifying and measuring risk......Page 30
Approaches to managing risk......Page 33
Drivers for change......Page 37
The move to real time and on-demand risk information......Page 41
Modelling risk......Page 44
Data requirements for risk management......Page 51
The risk management hierarchy......Page 52
Transactional and warehousing systems......Page 61
Sources of risk and loss information......Page 64
Data manipulation......Page 66
Data issues......Page 69
The design legacy......Page 73
3 Functional Requirements for a Risk Management Solution......Page 75
Risk identification and measurement......Page 76
Asset class specific risk management......Page 85
VaR approaches......Page 94
The risk analysis process......Page 98
Changes in risk with event levels and time......Page 99
Risk analysis and reporting......Page 100
PART II Risk Management Technology......Page 106
4 The Software Development Lifecycle......Page 108
A risk based approach to the software delivery process......Page 112
Modelling the process of implementing a system......Page 113
Prototyping......Page 115
Buy versus build......Page 116
The need for formalizing processes......Page 120
Agile methodologies......Page 122
Key roles in the software process......Page 124
Team-based development......Page 127
Documentation of the project......Page 130
5 Requirements Gathering and Analysis......Page 136
Re-engineering workflow and technology......Page 137
Requirements gathering......Page 140
System analysis......Page 156
The data requirements for a risk management system......Page 166
Physical architectural and implementation requirements......Page 168
Achieving concurrency in processing......Page 173
The design architecture......Page 175
The integrated service-orientated application architecture......Page 176
Integration and middleware......Page 179
Approaches to parallelism in software......Page 186
Data management, processing and persistence......Page 188
Data warehouses......Page 193
Producing high performance solutions......Page 195
7 Project Management......Page 200
The project management process......Page 203
Request for proposal (RfP) process......Page 216
8 Quality Management and Testing......Page 226
The software testing process......Page 227
Total quality management......Page 238
Validating, verifying and backtesting approaches and models......Page 242
Replacing existing functionality......Page 247
Defects and change requests......Page 250
Software problem reports (SPRs)......Page 253
Source code control......Page 255
Maintaining traceability......Page 260
Versioning system releases......Page 261
Development, build and testing environments......Page 263
Software deployment......Page 266
Tools and process automation......Page 271
PART III Trends in Risk Management Process and Technology......Page 274
10 The Future of Risk Management Technology......Page 276
Risk management in the future......Page 278
Risk transformation and cost benefit analysis......Page 281
Strategic versus tactical......Page 282
Structural project risk......Page 284
Flexibility and managing the unknown risk......Page 287
Maintaining competitive advantage......Page 288
Development approaches......Page 289
The component revolution......Page 291
The integration and interface gap......Page 293
Conclusion......Page 294
Risk management system providers and consultants......Page 296
B......Page 304
C......Page 305
D......Page 306
E......Page 307
I......Page 308
M......Page 309
P......Page 310
R......Page 311
S......Page 313
U......Page 315
Y......Page 316