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Photo du rédacteurHélène Dufour

The information value of past losses in operational risk

"We show that past #operationalrisk losses are informative of future losses, even after controlling for a wide range of financial characteristics. We propose that the information provided by past losses results from their capturing hard-to-quantify factors such as the quality of operational risk controls, the #riskculture and the #riskappetite of the #bank."


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