Financial Risk Management

Staying ahead of financial risk

We are a team of problem solvers that help clients to be more efficient and establish innovative financial risk management culture, dealing with the array of risks which they encounter, such as credit, market, operational, liquidity risk and management of its economic capital.

We provide a full cycle of solutions set covering financial modelling, financial instruments valuation, treasury, funding and capital across all industries.

Our services

Our expertise includes the following services throughout the model lifecycle:

We can assist you with the following:

Design, implement and refine models for credit risk, market risk and operational risk; and financial modelling
Develop effective model risk governance on data and policies.
Perform independent validation and benchmarking of risk modelling for credit risk, market risk and operational risk.
Conduct workshops / training on technical details in financial risk modelling

We cover the following topics as well:

Credit

MFRS 9/IFRS 9 Expected Credit Loss model
Customer credit application and behaviour scorecard
Collection scorecard (C-score)
Customer Risk Profile Assessment (CRP)
Product risk scorecard (PRS)
Stress test model
Risk Basel pricing
Basel II Internal Rating Based (IRB) model
Early warning signal assessment
Artificial Intelligence / Machine Learning model validation

Market

Value-at-Risk (VaR)
Credit / debit valuation adjustment (CVA / DVA)
Basel IV internal model approach (IMA)

Operational

Operational risk management

Financial

Financial modelling

We can assist you with the following:

Perform gap analysis against leading international practices and regulatory standards, such as the Basel II & III Accord and Bank Negara Malaysia (BNM) requirements
Develop risk measurement models and comprehensive capital management tools for financial institutions
Assess the adequacy of internal procedures for monitoring, reporting and review of risk exposures and capital needs
Assess the reasonableness and validity of key assumptions and methodology for stress testing and capital management plan
Review, validate and/or implement:
- Risk-Adjusted Return on Capital (RAROC) framework and methodology
- Fund Transfer Pricing framework and methodology
- ALCO reporting template
Develop, review and validate recovery plans required by regulators
Develop contingency funding plans and perform crisis simulation to assess the reliability of the contingency funding plan.

We can assist you with the following:

Treasury strategy and operating model transformation

Developing the vision and target operating model best suited to your business
Enhancing governance structure and organisational design, treasury policies, processes and controls
Executing treasury and cash transformation

Cash and liquidity management

Evaluating and selecting the right banking partners and services
Developing and implementing a robust and dynamic cash forecasting programme
Designing and implementing in-house banking, payment factory, pooling and netting structures
Enhancing the effectiveness of your performance reporting

Currency and other financial risk management

Risk identification and measurement in relation to FX, interest rates and commodities
Developing good-fit risk management objectives and strategies, aligned with market changes and new developments
Designing trading activities, including governance framework, policies, processes, controls, monitoring and reporting
Developing valuation techniques for hedging instruments
Training to management and employees

Treasury technology

Developing technology vision and strategy
Defining functional requirements and preferred systems
Implementing and integrating systems across treasury and commodity risk activities and geographies

Treasury accounting and financial instrument valuation

Perform independent valuation for organisations
Provide hedge accounting advisory
Evaluate requirements and assist in the development of solutions for compliance with accounting standards