Generated on 2014/06/19 at 04:58:35 AM

Risk Item: Strategic Risk

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Description (HTML)	Strategic risk involves more than an analysis of the strategic plan for asset management activities. It relates to how asset management strategies, business plans, systems, and implementation processes affect a bank’s franchise value, as well as how management analyzes external factors that affect the strategic direction of a bank. The resources needed to carry out asset management strategies are both tangible and intangible. They include communication channels, operating systems, delivery networks, and managerial capacities and capabilities. Some examples of issues that could raise an institution’s level of strategic risk are Failure to adopt and implement an asset management strategic planning process. Failure to provide adequate financial, technological, and human resources to asset management business lines and control functions. Weaknesses in the administration of acquisitions, mergers, and alliances.
Source Description	OCC Handbook - Asset Management
Source URL	http://www.occ.gov/publications/publications-by-type/comptrollers-handbook/assetmanagement.pdf
Document	No document attached...
Item Quality Status (Item Quality Status)	Acceptable
Updated by	webea.09
Updated on	2014-04-07 15:48:08
categorised by	Risk Type Control Risk