Nos derniers articles

Well-capitalized #banks play a crucial role in supporting economic adaptation to #weather-induced #labor #productivity #risk.

"This paper introduces the multivariate range Value-at-Risk (MRVaR) and multivariate range covariance (MRCov) as #risk#measures for #riskmanagement in #regulation and investment… Frequently-used cases in industry, such as normal, student-t, logistic, Laplace, and Pearson type VII distributions, are presented with numerical examples."

"... we propose applying the #risk categories to specific #ai #scenarios, rather than solely to fields of application, using a #riskassessment #model that integrates the #aia [#eu #aiact] with the risk approach arising from the Intergovernmental Panel on Climate Change (#ipcc) and related literature. This model enables the estimation of the magnitude of AI risk by considering the interaction between (a) risk determinants, (b) individual drivers of determinants, and (c) multiple risk types. We use large language models (#llms) as an example."

"The convex combination of the distortion #risk #measurement is constructed from the perspectives of #insurer and #reinsurer."

"The research findings revealed that still people do not pay due importance to the #lifeinsurance policy, they prefer other #financialialinstruments, such as #bank deposits, #mutualfunds, the #stockmarket, and some others... The buyers treated life #insurance as an #investment and #taxsavings instrument instead of a #risk coverage instrument."

We offer a #datadriven theory of #belief formation that explains sudden surges in economic #uncertainty and their consequences. It argues that people, like #bayesian econometricians, estimate a distribution of macroeconomic outcomes but do not know the true distribution. The paper shows how real-time estimation of distributions with non-normal tails can result in large fluctuations in uncertainty, particularly related to tail events or "black swans." Using real-time GDP data, the authors find that revisions in estimated #blackswan #risk explain most of the fluctuations in uncertainty. These findings highlight the importance of #accounting for the effects of uncertainty and non-normality in economic decision-making and #policymaking.

" The biggest Shortcoming of the recent reforms to the stabilization of the #financialsystem, such as #baseliii and the American #doddfrankact Act, is that they increase the #capitalrequirements rather than the causes of the increased #risk. It would generally be better to forbid risky and complex #financialproducts than to further increase #regulation complexity."

"We find that the more risky the #insurer ’s #investmentportfolio is, the more #risk the insurer tends to #transfer to the #reinsurer."

This paper explores potential revisions to the calculation of the #solvencyII#risk margin (RM) and contributes to the ongoing discussion by formally defining the concept of capital-on-capital cost. The paper highlights the need for practitioners to consider capital-on-capital costs in their #lifeinsurance#riskmanagement frameworks and for policymakers to carefully evaluate the potential impact of any revisions to the calculation of the RM.

This article addresses the increasing concern of investors regarding corporate wrongdoing impacting a company's stock price, particularly regarding #esgrisk. The article argues that courts should not dismiss ESG securities #fraud cases as mere puffery, but instead focus on whether the corporation and its managers knew of a material #risk of an #esg problem but deceptively obscured that risk in its communications with investors.