En savoir plus
In 2001 I created a basic visual approach to communicate at a high level the interlinked nature of various corporate entity risk factors in a firm and to highlight to the board of directors and managers of firms that any corporate risk management approach needs to be a holistic one taking in to account a variety of financial and operational risks. This book builds and expands on this approach and helps managers understand the law of risk, "risk in a company cannot be destroyed it can only be transferred from one form of risk in to another" and gives practical guidance on transferring unwanted business risks in to more manageable and more transparent risks that can be valued and monitored and effectively controlled or accepted by the business and it's shareholders.
The risk matrix covers:
Price risk
Credit risk
Liquidity risk
Cash-flow risk
Basis risk
Legal risk
Tax risk
Operational risk
This book builds on a proven approach I have used to help and communicate risk effectively in energy and commodity companies, but this book will be for any corporate manager so for a much wider audience than just energy and commodity firms. it will be for ANY firm that is trying to understand risk, build a risk culture, and assess and manage risk effectively using best practice approaches.
History gives us many examples of business failures Where companies even producers of valuable commodities such as oil producers and consumers such as Shipping companies and airlines have gone bankrupt or incurred losses as a result of using correct approaches to managing their price risk exposure to oil and commodity prices using financial derivatives but failed to look at corporate risk in a holistic manner and to evaluate and manage other risks covered by the risk matrix.
Table des matières
0. Introduction - the risk matrix and the law of risk
1. Integrated corporate risk management
2. Business failures due to not observing the risk matrix - case studies
3. Risk awareness and positive risk culture development in companies
4. Price risk - assessment, valuation and control
5. Credit risk - assessment, valuation and control
6. Liquidity risk. - assessment, valuation and control
7. Cash-flow risk - assessment, valuation and control
8. Basis risk. - assessment, valuation and strategies in commodity asset classes
9. Legal risk. - review of legal risks in key jurisdictions for key legal trading master agreements
10. Tax risk
11. Operational risk
