Operational Risk Framework, Governance, and Identification

Free GARP FRM Part II lesson in Operational Risk and Resilience. 20 min read, ~3,037 words.

Basel definition: operational risk is the risk of loss from inadequate or failed internal processes, people, systems, or external events. Excludes strategic and reputational risk; includes legal risk. Seven Basel II event categories: internal fraud, external fraud, employment practices, clients and products, damage to physical assets, business disruption, execution and...

Read the full lesson, free →
Worked examples, audio narration, and practice. No signup to read.

What this lesson covers

Learning objectives

Browse all free FRM Part II lessons or jump into free FRM Part II practice questions.