The Essentials of Risk Management, Second Edition, 2nd Edition

INTRODUCTION TO THE SECOND EDITION: REFORMING RISK MANAGEMENT FOR THE POST-CRISIS ERA

Half a dozen years and more have passed since the start of the global financial crisis of 2007–2009,¹ and even the European sovereign debt crisis of 2010 is fading into history. In neither case can we be sure that the crises are fully resolved, and their aftershocks and ramifications continue to shape our world. However, enough time may have elapsed for us to absorb the main lessons of the crisis years and to begin to understand the implications of the still unfolding reforms of the world’s financial industries.

In this new edition of The Essentials of Risk Management, we have revisited each chapter in light of what has been learned from risk management failures ...