Operational Risk Management Issues from a Regulatory and Compliance Perspective

October 31, 2006

On October 31, 2006 Bob Tortoriello authored an Alert Memorandum entitled “Operational Risk Management Issues from a Regulatory and Compliance Perspective.” This thirty-four page memo discusses certain selected legal/regulatory compliance developments over the past several months related to Operational Risk Management.

Attached is an Outline, prepared in connection with the Institute of International Bankers Annual Seminar on Regulatory Examination and Compliance Issues Affecting International Banks, held on October 31. The Outline is intended to focus on supervisory trends regarding operational risk management primarily from a regulatory and compliance perspective (including legal/reputational risk, and risk related to complex structured finance transactions). Although the Outline approaches these questions principally from the perspective of international wholesale banks, many of the points made are relevant to large, complex U.S. domestic banking organizations as well.