Key facts
- More than half of banks report increased contact from supervisors regarding enterprise risk management.
- Formal regulatory requirements for enterprise risk management functions have not significantly changed.
- New research indicates a rise in supervisory engagement with banks' ERM teams.
Supervisors have increased their engagement with banks' enterprise risk management (ERM) teams, even as the formal regulatory requirements for maintaining such functions have remained largely stable, according to new research. Fifty-seven percent of banks indicated that their ERM teams have experienced a rise in supervisory contact. This suggests a growing demand for oversight and engagement from regulators in the area of enterprise risk, independent of any formal changes to the underlying rules.