Regulatory Alerts2013-07-08 | CD-SIBOIF-781-1-MAY14-2013Added · Updated
Norm for Integrated Risk Management
The Superintendence of Banks and Other Financial Institutions issued Resolution No. CD-SIBOIF-781-1-MAY14-2013, establishing mandatory integrated risk management guidelines for banks, financial companies, financial groups, and foreign branches. The norm requires these institutions to define risk appetite, tolerance levels, and exposure limits while implementing continuous processes for risk identification, measurement, monitoring, and control. It mandates a two-tier organizational structure comprising a Board of Directors and a Risk Committee, assigning specific approval and supervisory functions to each to ensure segregation of duties and independence from business units.
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