Market Risk
the possibility that an individual or other entity will experience losses due to factors that affect the overall performance of investments in the financial markets
Liquidity Risk
how a bank's inability to meet its obligations (whether real or perceived) threatens its financial position or existence
Operational Risk
the risk of loss resulting from inadequate or failed internal processes, people, and systems or from external events.
Model Risk
type of risk that occurs when a financial model is used to measure quantitative information such as a firm's market risks or value transactions, and the model fails or performs inadequately and leads to adverse outcomes for the firm.
Treasury Risk
the risk associated with the management of an enterprise's holdings - ranging from money market instruments through to equities trading.
Risk Appetite
Risk appetite is the amount of risk an organization is willing to accept to achieve its objectives
Risk Tolerance
Risk tolerance is the acceptable deviation from the organization's risk appetite
limit setting
Limits should increase and widen as risk reduces and/or capital increases