Your home is Your most important company: The cost of ignorance and the Risks of Financial Illiteracy
Financial literacy is often reduced to knowing about interest rates, loans, and basic banking terms. In reality, it is a much broader set of knowledge and habits that shape how we plan, make decisions, take risks, and bear consequences. If we view the household budget as a small company—with income, expenses, reserves, investments, and risks—it […]
AI/ML and Regulation: A Risk Management Perspective in a Changing Landscape
The growing use of artificial intelligence (AI) and machine learning (ML) is reshaping business models, operational processes, and decision-making structures across industries. While it remains uncertain how enduring this technological wave will be, its current impact is substantial enough that institutions can’t afford to ignore it. The core question is not whether AI will dominate […]
KEEP THE BALANCE
The reason for this blog arose from two strong feelings that have been following me lately: first, the sudden death of a dear friend, whose passing deeply resonated and made me reflect on life’s lessons; second, the current state of society, the harsh everyday events, a distorted value system, fake lives and alienation, while at […]
AI and ML Risks: The New Role of the Risk Manager
Artificial Intelligence (AI) and Machine Learning (ML) are no longer a distant future—they are already part of business processes in banking, insurance, industry, and the public sector. They bring tremendous opportunities: better predictions, faster decisions, cost reductions, and the discovery of new patterns. But alongside these opportunities comes a whole new set of risks that […]
AI (Artificial Intelligence) and ML (Machine Learning): Mathematics and Risks
When reviewing the Global Risks Report from the World Economic Forum (Global Risks Report 2025 | World Economic Forum), it becomes clear that the global risks facing the world — and consequently every individual, whether a person or legal entity — are increasingly complex and interconnected. Among these, the newly emerging AI-related risks are becoming […]
Risk Culture-Key to Resilience and Long-Term Success
Why Risk Culture? Risk culture refers to the set of values, beliefs, knowledge, and behaviors within an organization that shape how its members perceive and manage risks. In a time of increasing regulatory complexity, rapid digitalization, and geopolitical instability, a strong risk culture is becoming a crucial factor for survival and development—both for financial institutions […]
RECOVERY PLAN – Regulatory requirements, real risks, concrete solutions
Expert Support for Regulatory Compliance and Bank Resilience The Recovery Plan is a fundamental element of a bank’s strategic resilience and one of the key documents within the regulatory crisis management framework. Its purpose is to clearly define timely and effective measures that a bank can implement in situations of severe financial distress, with the […]
STRESS TESTING – A key tool for risk anticipation and decision-making
Risk Management Starts with Understanding Its Extreme Manifestations Stress testing is one of the most important tools in modern risk management and strategic planning for banks. This process enables a bank to assess how its financial position and capital adequacy would respond under severe, yet plausible stress scenarios – whether triggered by external shocks, market […]
CREDIT RISK MANAGEMENT – The banking basis for the stability and sustainable growth
Credit Risk is at the Core of Banking – Managing It Requires Structure, Process, and Discipline Credit risk management is a cornerstone of the risk management framework in banks. An effective credit risk framework not only ensures compliance with regulatory requirements but also directly influences asset quality, capital strength, and overall profitability. Today’s challenges – […]