Improving the system of quantitative indicators for risk assessment of financial companies

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The paper examines the existing methodological recommendations for assessing risk of financial institutions of non-bank financial services market participants. In particular, the focus is on the activities of financial companies, which are the largest non-banking market participants. The purpose of the study is to develop an approach to risk assessment of financial companies. The methodological basis for achieving the goal is a systematic analysis of the existing provisions of the regulator on the criteria for assessing the risk of financial institutions. The paper examines in detail the state of the modern risk assessment system in accordance with the criteria developed by the regulator, identifies key shortcomings of the recommendations and proposes to supplement the existing list of indicators that were taken into account by the previous regulator. An analysis of the legislation on the availability of quantitative indicators for assessing risk of non-banking financial services market participants was carried out, which made it possible to offer an expanded list of criteria for achieving the research goal. The expediency of the proposed system of quantitative indicators for assessing the risks of activity is confirmed by the existing actions of the regulator, which partially coincide with the proposed provisions. The developed recommendations provide an opportunity to improve the risk assessment system both for inspections by supervisors and for financial institutions seeking to strengthen preventive measures for their management.

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    • Table 1. Зведені показники оцінки ризику діяльності фінансових компаній
    • Table 2. Результати оцінки ризику діяльності ТОВ «Міжрегіональна інвестиційно- лізингова компанія»
    • Conceptualization
      Valeriia Shorokh
    • Data curation
      Valeriia Shorokh
    • Formal Analysis
      Valeriia Shorokh
    • Funding acquisition
      Valeriia Shorokh
    • Investigation
      Valeriia Shorokh
    • Methodology
      Valeriia Shorokh
    • Project administration
      Valeriia Shorokh
    • Resources
      Valeriia Shorokh
    • Software
      Valeriia Shorokh
    • Supervision
      Valeriia Shorokh
    • Validation
      Valeriia Shorokh
    • Visualization
      Valeriia Shorokh
    • Writing – original draft
      Valeriia Shorokh
    • Writing – review & editing
      Valeriia Shorokh