Risk Management: Recent Developments and Issues

The paper considers the issues of recent developments of financial risk management with the emphasis on its characteristic features in Ukraine. The main aspect of the research is the need for adequate risk management of the set of existing risks which are transformed and modified. The study is structured in two parts. The first component includes the identification and analysis of problems in structural components of risk management. The second part involves the issues of risk management as a whole system. At the frameworks of the first part it was grounded that the range of problems in the “Identification of risk” component is focused at different aspects of dollarization of bank`s liabilities and assets. The structural component “Analysis of risk” includes in the current period and the range of problems which refer to the methods of analysis of on-line microcredits. Establishing of integral measure of risk, formalizing risk tolerance, and development of risk management tools are also investigated. The focus of the second part is concentrated on the dynamics of regulative impacts on the risk management systems and interconnection between these systems and business development. It shows the reasonability of graduality of introducing a “proactive” approach for organization of risk management systems. This is considered as an alternative for the classic “reactive” approach