Regulatory and Risk Advisory

Whether it’s helping implement regulatory compliance requirements, transforming operating models or digitizing processes and tools, our approach and alliances uniquely position THK to support a clients’ most important programs. Actuarial services play a pivotal role in the strategic management of financial risks for insurance and pension fund organizations. Actuaries harness advanced mathematical and statistical methodologies to deliver invaluable insights, enabling organizations to make well-informed decisions that significantly influence their financial stability and overall success.

Keep up to date on current regulatory changes, trends and opportunities that are impacting global clients. THK’s teams of experienced professionals in the areas of regulatory, finance, risk and business technology can support and help you efficiently prepare for changes and updates. Regulatory services play a critical role in helping businesses and organizations navigate the complex and evolving landscape of government regulations. These services are essential for maintaining legal compliance, managing risks, and ensuring that organizations operate ethically and responsibly within their respective industries.

We also help organisations develop recovery and resolution plans, including identifying critical functions, designing recovery indicators and triggers, and testing recovery options under severe stress scenarios.

Credit risk management comprises specialized financial services that assist financial institutions and businesses in evaluating, tracking, and mitigating the inherent risks linked to extending credit to borrowers or counterparties. Effective management of credit risk is imperative for sustaining the financial stability and profitability of organizations engaged in extending credit to their clientele. Our vast suite of services encompasses credit risk assessment, credit scoring, portfolio analysis, ongoing credit monitoring, credit reporting and data analysis, credit risk modeling, stress testing, the formulation of risk mitigation strategies, and the integration of ESG factors, including climate-related and environmental considerations, into the domain of credit risk management.

Market and liquidity risk services represent specialized financial offerings designed to assist organizations, notably financial institutions and investment firms, in identifying, evaluating, and effectively managing risks associated with market fluctuations and the accessibility of liquid assets. These risks possess the potential to exert a substantial impact on an organization’s financial stability, profitability, and its capability to meet immediate financial obligations. The provision of market and liquidity risk services can prove indispensable for organizations exposed to market volatility, as it helps ensure their capacity to meet short-term financial commitments.

Non-financial risk services encompass a diverse array of initiatives and tactics aimed at recognizing, evaluating, and mitigating risks that, while not directly linked to financial metrics, possess the potential to exert substantial influence on an organization’s functioning, reputation, and adherence to regulations. These risks frequently categorize into operational, strategic, compliance, reputational, and environmental, social, and governance (ESG) domains. The provision of non-financial risk services holds paramount importance in fortifying an organization’s overall resilience and sustainability.

Obtaining a regulatory licence or industry certification requires organisations to show that their governance, policies, processes and controls meet a defined set of standards. New entrants, such as digital banks and fintechs, face this at the very start of their journey, often under tight timelines. We help clients understand the applicable requirements and prepare for licensing and certification. Our work includes readiness and gap assessments, designing or updating policies, procedures and controls, and tracking remediation until the requirements are met. Where a regulator or industry body requires an independent report or opinion on compliance, we can also perform the review and report our conclusions in the prescribed form.

Complex risk and regulatory calculations are often performed through manual, spreadsheet-based processes that are slow and prone to error. We develop automated tools that perform these calculations quickly, consistently and in line with applicable regulatory and accounting requirements. Because the tools run within the client's own environment, sensitive data stays within the institution. Each tool is designed around the client's data and processes, tested before handover, and supported by user guides and training. We also provide ongoing support to update the tools as regulations and requirements change. Clients benefit from faster turnaround, fewer manual errors and a clear audit trail, while keeping full ownership of their results.