1. The Role of the CRO in ERM Networking Evening Colin Ledlie 12/05/08

2. Role of the CRO  Financial Risk Management  Capital Management & Allocation  Risk Adjusted Performance Metrics  Operational Risk  Strategic Risk Management  Emerging Risk Management  Regulatory Compliance  Regulatory Relationship Management  Financial Crime  Information Security  Business Continuity

3. Enterprise Risk Management Enterprise risk management is a process, effected by an entity’s board of directors, management and other personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect the entity, and manage risk to be within its risk appetite, to provide reasonable assurance regarding the achievement of entity objectives. COSO ERM Definition

4. Challenges  Credit Crunch  Issue Management  Operational Risk Management  Solvency 2  ERM Development  Group Relationship with Business Units

5. Actuaries & CRO Role  Strengths  Understand the big risks  Understand the business  Strong technical understanding of advanced and strategic risk management  Judgement and independence  Challenges  Wider range of risks – Everything Really Matters  Wider range of business relationships  Multi-disciplinary teams  Process & Systems View  Managing Conflicts