In the last ten years, operational risk has received a considerable attention from banking supervisors, practitioners and researchers alike. While the majority of studies have been devoted to derive the appropriate formulas for quantifying this risk (i.e. under pillar I of Basel II), less has...

Purpose – This paper aims to examine the influence of risk management (RM) practices on the credit risk of significantly supervised European banks.Design/methodology/approach – To avoid regulatory and reporting discrepancies, this paper samples banks that come under the direct supervision of...