E11: Embedding stress testing as part of an integrated risk management framework

Document description

Over the last few years, the Financial Services Authority have been emphasising the importance of stress testing as part of a company’s ERM framework.  This has been evident through stress testing exercises carried out as part of their Core Prudential Programme for supervision and resultory developments such as PS09/20.  This session will present a case study of how to embed stress testing as part of an integrated risk management framework to maximise the benefits of a stress test testing programme in terms of effective risk management and maximisation of shareholder value.  It will set out the key practical challenges around risk culture and show how the Group Risk Function and the Actuarial Function holder of a Life Company can work together so that the requirements of both can be met through an efficient and holistic approach.