CHAPTER 8

Risk Management and Financial Control

Angela Caldara

VTB Bank Europe

Introduction

A recent newspaper report stated: “Watchdog suspends Eurotunnel shares over late results. Shares in debt-ridden Eurotunnel company were ­suspended yesterday after the Financial Services Authority (FSA) said trading should cease until the Euromoney company posts its delayed annual results.”1

In 26 words, this sentence summarizes most of the risks that a company faces nowadays. Clearly the company in question did not have an adequate team in financial control that really understood risk management.

When we think about risk management, we tend to think about the “boys” on the trading floor and the fund managers sitting in their plush offices in ...

Get Frontiers of Risk Management, Volume II now with the O’Reilly learning platform.

O’Reilly members experience live online training, plus books, videos, and digital content from nearly 200 publishers.