The Banca IFIS Group is also rapidly evolving in terms of risk management methods.
The Risk Control Department is embedded in the Risk Management of the Parent Company, which reports hierarchically to the Chief Executive Officer. The Chief Risk Officer has direct access to the Board of Directors and the Board of Statutory Auditors and communicates with them without restrictions of intermediaries. The Risk Management Department is separate from the Internal Audit Department and from the Compliance and Anti-Money Laundering Departments from an organisational standpoint. Moreover, it is not involved in risk assumption processes.
The Risk Management Department is responsible for identifying and activating an effective risk management process and for its transversal diffusion within the group. To this end, it oversees the functioning of the risk control system of the bank and of the group, defining the appropriate methodologies for measuring all current and future risks. The Department guarantees constant monitoring of the overall exposure of the group and of each unit to credit, financial, operational and other relevant risks, in compliance with the limits established by legislation and internal supervisory regulations.
The Chief Risk Officer is the person responsible for identifying and activating an effective risk management process through the development of Risk Management policies which include the definition and quantification of risk appetite, as well as risk policies and risk limits at unit and group level. The Parent Company’s Risk Management carries out its functions for Banca IFIS and, within its own management and coordination activities, it expands its scope of competence to all the companies of the Group.
With reference to the organisational structure of Risk Management of the Banca IFIS Parent Company, the last few years have been characterised by a dimensional growth of the department which, therefore, saw the completion of the organisational design in relation to governance and management of risks.
2018 was characterised by an intense activity that involved the Risk Management Department both in the execution of activities of an ordinary nature, aimed at guaranteeing the “standard” operations of the control function, and in the execution of extraordinary activities with a design value related to the review of risk management processes, analysis, development and implementation of data and models, in the context of processes for integrating financial companies during the year.
In 2019 we will see Risk Management Department strongly committed to the continuation of the activities aimed at ensuring greater efficiency of the risk management processes.
Information for the public regarding Pillar III is available in this section.