easy · Frm Part 2 Operational Risk
When a business unit identifies a new risk in its RCSA, it must map it to the firm's standard 'Risk Taxonomy.'
What is the primary purpose of this mapping?
- To identify which specific employee is responsible for the risk.
- To automatically determine the capital requirement for that risk.
- To ensure consistent naming and enable firm-wide aggregation.
- To calculate the probability of the risk occurring in the next year.
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