"There are now over 50 organisations from across the globe actively participating in the KRI Study, with a similar number waiting to join when the next KRI Library intake commences in Q4, 2004", stated Davies in his address. "These firms now have on-line access to the KRI Library and are
providing feedback while utilising the individual indicators which KRI provides".
During recent KRI Study Participant Roundtables in New York, London and Hong Kong, participants requested confirmation on the future. "Both the RMA and RiskBusiness are fully committed to the long-term maintenance and expansion of the KRI Library," states Charles Taylor, Director of Operational Risk at the RMA. "The level of interest in moving ahead to benchmarking is extremely high and we anticipate the first benchmarking activities to start in Q4, 2004 with the aim of delivering the first actual benchmark values early in 2005".
Given recent moves in Europe to consolidate regulation across both banking and insurance activities, in his address Davies raised new possibilities for the KRI Study. "Starting in Q4, the KRI Study Team will be working with a small group of insurance and assurance firms to explore the feasibility of repeating much of the existing KRI Study for the insurance, assurance and reinsurance markets. Several of the existing participants, mainly in Europe but also in North America, have insurance businesses and they want a common mechanism to manage risk. We are talking to the key players in the insurance industry: many have expressed an interest in participating. The Insurance KRI Study would use a very similar framework to that used by the Banking KRI Study, with some amendments to the business function dimension".
Insurance and assurance firms who want more information should contact either the RMA or RiskBusiness, as should other financial services firms with an interest in participating in the various KRI Studies.