Corporate governance
Estimating the impact of climate change on credit risk
The author investigates the relationship between climate change and credit risk characteristics of individual obligors and portfolios of credit obligations.
Mediobanca’s Generali deal revives an old sec lending concern
BoE warns against lending shares to borrowers aiming to influence AGM votes, but will anyone outside the UK listen?
Credit Suisse CFO steps down ahead of crucial shareholder vote
David Mathers was also CEO of the swap dealer entities that housed the bank’s trades with Archegos
Archegos revisited: the gaps in Credit Suisse’s story
Ahead of shareholder vote, former execs point to gaps in key report – raising new questions about accountability
Strengthening risk frameworks
Interest rates might be a challenge, but they are also an opportunity for insurers, Gus Ortega, head of operational risk management at Voya Financial, tells Risk.net
How Russian stocks still meet EU rules for ‘good governance’
Loose SFDR definitions leave room for Russian state-owned firms to remain in article 8 funds
Preventing the unpleasant: fraudulent financial statement detection using financial ratios
In this paper, the authors investigate financial fraud in companies listed on the Athens Stock Exchange during the period 2008–18 and propose a model to detect fraudulent financial statements.
Revisiting the linkage between internal audit function characteristics and internal control quality
This paper revisits the linkage between internal audit function characteristics and internal control quality and proposes a random polynomial model for assessing ICQ.
ESG strategies: special report 2021
This Risk.net special report comprises a series of articles that reflect on the latest initiatives for consistent standardised global frameworks for measuring ESG, consider the methodologies investors are using to make measurable progress for people and…
ESG strategy, investment and risk
Appetite for ESG funds has never been higher. Inflows exceeded $180 billion in the first quarter of 2021 – equal to the whole of 2019 – and, according to some estimates, ESG funds are set to outnumber conventional ones by 2025. A forum of industry…
How State Street came to vote against polluting companies
SSGA will vote against companies that do too little on climate, but won’t abandon them entirely
Risk disclosures in annual reports: the role of nonfinancial companies listed on the Athens stock exchange
This study analyzes the risks disclosed by all nonfinancial companies listed on the Athens stock exchange by undertaking content analysis of their annual reports during the period 2005–11.
Equity derivatives house of the year: BNP Paribas
Asia Risk Awards 2021
The limits of a softly-softly approach on climate in China
Asset managers must put pressure on the companies they invest in
Ethical ratings stir debate over saints and sinners
Asset manager Aegon hits out at “flawed” ESG ratings methodologies
A framework to analyze the financial effects of climate change
Starting with an expert assessment of the climate risk factors over a specified horizon, then moving to a description of the expected number of climate events and the severity of the losses if an event occurs, the authors describe a framework to analyze…
EU fund managers confused by new ESG designations
Vague rules leave managers unsure which categories to apply to their funds
US pension fund teams up with academics to cut through ESG fog
State fund and MIT’s business school look to improve ESG data and to reflect all investors’ views
The strange case of the Jet Airways bankruptcy: a financial structure analysis
The authors investigate the financial structure of Jet Airways, with the aim of understanding whether financial turbulence for an airline company can constitute an antecedent for predicting the risk of bankruptcy.
Fund managers seek to plug holes in ESG data
Social intel proves elusive as virus reawakens sense of corporate virtue