Risk Assessments

The regulatory agencies have each revamped their compliance examination procedures. Going forward, examinations will be based on risk and management of risk. If institutions cannot provide satisfactory responses to the questions about risk, examiners will proceed with the more familiar and time- consuming transactional analysis. While this doesn't mean that having a risk assessment for the organization and all its products and services is required, it does mean that having one will shorten your examination. It will also enable you to respond to the examination questionnaire with conviction.

Copyright © 2004 Compliance Action. Originally appeared in Compliance Action, Vol. 8, No. 14, 1/04