medium · Frm Part 2 Operational Risk

A global bank's Operational Risk Committee reviews a monthly dashboard.

Which of the following metrics most accurately serves as a Key Risk Indicator (KRI) rather than a Key Performance Indicator (KPI)?

  1. The count of manual overrides for high-value payments processed during the month.
  2. The total number of internal fraud incidents successfully closed by the investigations team.
  3. Total dollar value of operational losses realized during the previous quarter.
  4. Return on equity (ROE) for the retail banking division against the annual budget.

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