Security analysts tend to bias stock recommendations upward, particularly if they are affiliated with the underwriter. We analyze how investors account for such distortions. Using the NYSE Trades and Quotations database, we find that large traders adjust their trading response downward: they...

In the last two decades, the application of Enterprise Risk Management (ERM) has increased in its pace and more penetration particularly after the 2007-08 financial crisis. Such application was largely driven due to regulatory push. However, ERM is more to offer than just regulatory compliance

This paper explores the development of enterprise risk management as a function of the development of risk-based capital across the world over the last two decades. The paper identifies a clear correspondence between the emergence of RBC and ERM. The development of RBC worldwide was triggered by...

Risk culture is essential for the success of enterprise risk management (ERM). Enterprise riskmanagement is different from silo risk management where risks were mainly managed by onedepartment. Enterprise risk management means that the risk management is integrated fromBoard to the last employee...

Businesses are the main drivers of any economy and impact all the economic actors explicitly or implicitly. According to Gupta (2010) accountability, transparency, fairness, and responsibility of firms on legal social, and economic grounds are crucial for the wellbeing of every entity of a...

A business value is created by identifying the risks in the business and developing a risk mitigation plan. The only identification of risks is of little use unless an effective advance plan is developed and implemented to reduce either the likelihood or impact or both of the events. In this...

This article discusses some of the challenges present in embedding Enterprise Risk Management issues like corporate governance, independence of CRO, challenges in implementing three lines of defense model, lack of risk knowledge in the first line of defense, lack of risk qualification in the...

This article critically analyses the development of health insurance in India where on the one hand, 61% of India's population is covered by government health insurance schemes; however, in the premium term, their contribution is only 11%. Further, public sector general insurance companies are...

Risk culture is the engine to drive the entire enterprise risk management (ERM) program in any organization and, therefore, is of paramount importance to be a focus point.Australian Prudential Regulation Authority (APRA) has greatly focused on developing risk culture in banks and insurance...

The paper analyses the impact of COVID-19 on the death claims paid by the life insurance companies in India and as result losses suffered by the reinsurance companies. The impact of the second wave on the death claim experience for the first half-year of FY 2021-22 is much more than the death...