The Requirements Of Operational Risk Capital's Research Under The Risk Mitigation

The operational risk is one of the risks of financial institutions.Operational risk's identification and quantification has developed to a certain extent.The New Basel Capital Accord takes the operational risk into the commercial bank's risk management framework,and also confirms the risk mitigating effects of operational risk insurance under the AMA.Operational risk management in China started late, the domestic academic community's research on operational risk and the operational risk insurance is still relatively small, the insurance in the commercial banks are few and far in using, basically still in its embryonic stage.This paper uses the theoretical and empirical researches on the application of insurance in the commercial banks'operational risk management.The first,this paper introduces commercial banks'operational risk and mangement's basic theory,in which analies domestic and foreign commercial banks'current situation of operational risk.The result shows that China's commercial banks's operational risk existes widely,but the loss event teypes are mainly frauds. The second, this paper analyzes the basic theory of the application of insurance into commercial banks'risks management,and introduces the terms of the insurance as a risk mitigation tool in the Basel Committee .The last, this paper designs a financial derivative to insure against the operational risk and discusses the requirements for operational risk capital with insurance and without insurance, and achieves good results.