Banking is run on the premise that not all the Depositors would ask for their money back fully, at the same time and not all the borrowers can meet their committed financial obligations, at all times.. There exists cash flow mismatch arising out of primarily borrowing short (Deposits) and lending long (Loans), giving rise to the concept of Risk Management. Understanding Risk is akin to undertaking a boat journey in sea, as the subject is quite vast and depth is unknown. An attempt is made in the book to
be comprehensive with an intention to initiate and encourage all to identify, manage and mitigate the risk running across the banking functions.
cover almost every topic on Risk in Banking, the Business Driver, that an inquisitive & curious banker might want to know.
enable the readers to acquire a firm grip on the fundamentals of and foundations on risk management, while treading on the same.
encompass all the aspects on the subject of “Risks in Banks”, and serve as one-point accessible reference, embracing all the dimensions of Risks.
sensitise the banking and finance professionals on the subject of “Risk” having immense potentials & huge impact in the financial market.
Basel norms are proved to be a moving target, as the goal poles get shifted every now and then, even before covering the entire distance of Basel I, II, III, etc. The Book is a must for all Bankers, be it at an entry level Junior Employee as openings in the banking career are on the rise or an exit level top-ranked General Managers, who are all expected to know Risk to further climb up the ladder. The Book may prove to be a wonderful addition to the Libraries of Management Institutes and financial organisations in general & Banks, in particular and a worthy handbook for students and officials of these two entities.
With reading and re-reading followed by internalization of the subject “Risk”, the reader should be able to comprehend risk well. In the words of Mark Twain, a great writer from Florida, Missouri, “The man who does not read a good book has no advantage over the person who cannot read”. The reader-friendly Book, extent of coverage, affordability of price, production and publishing values, etc., it brings along, make it an interesting read for the Banking fraternity.
R S Raghavan (60), a Science graduate with Chartered Accountancy and CAIIB as professional qualifications, was born in Chennai and had his schooling in P S High School, Mylapore and graduated in Science from A M Jain collage, Meenampakkam, Chennai.
Taking it as a personal challenge, he switched over his discipline to commerce and became the first in the large family to become Chartered Accountant. He joined as a Financial Analyst in a PSU Bank and during his tenure, has extensively travelled across the country handling Credit Appraisal and Credit Management, primarily in Mumbai, the commercial Capital of India, before setting up a full-fledged Risk Management Department in the Bank in the early part of the century and served in the Risk Management Department for more than eight years. He has exposure in Branch Inspection & Branch operations. He, while serving as a Branch Head in Delhi, took Voluntarily Retirement as Asst. General Manager.
Along the way, before the advent of software for Risk Rating Model, the author developed in 2003, a manual multi-Dimensional Risk Rating Models that secured the appreciation of the then Chairman and Managing Director of the Bank and the same models were in operation in the Bank for more than eight years. The author had also put in place, for the first time, a number of Risk Management Policies in the Bank.
His wife is also in the knowledge spreading assignment of teaching. He has two sons – one, Telecommunication Engineer and the other, Chartered Accountant. His daughter-in-law is a budding Company Secretary and is in the final course of completion.