Changing Contours of Risk Management in a Digitized Financial Space: The Future Started Yesterday
11 Pages Posted: 25 Jun 2019
Date Written: January 24, 2019
The first wave of digitization has automated the front-end of banking institution, now it’s the turn for digitizing back-end and use technology in risk management for gaining a competitive advantage. Machine learning and predictive analysis are being used for assessing various credit proposals. While digitizing provides added benefits, institutions must always be cautious regarding cyber and outsourcing risk involved. Regulatory and supervisory guidance will also play prominent role in this going forward.
Keywords: SupTech, Predictive algorithm, Regulatory sandbox, Risk Management using Digitization
JEL Classification: D81, D 83, G32, G41
Suggested Citation: Suggested Citation