"Changing market dynamics, technological advances, and geopolitical stresses have transformed investment risk management over the last 20 years. As new and bespoke products have emerged, new risks and additional complexities have driven advances in risk management processes and analytics....

This paper presents eight general principles of risk management and eight important lessons worth remembering from the Credit Crisis of 2007-2009. The Credit Crisis has clearly demonstrated the importance of a strong, independent risk management function and our eight basic principles of risk...