Preparing for a possible recession is the top priority for most chief risk officers at large banks, according to a new survey by the Risk Management Association and consulting firm Oliver Wyman. The two organizations polled 40 CROs at North American banks with at least $25 billion in assets. More than half of respondents (52%) listed recession readiness as a top risk priority, followed by consumer compliance (48%), cyber risk (43%), fraud/financial crime (39%) and operational resilience (32%).
CROs were also asked what they viewed as the top emerging risks. More than two in three (69%) said a change in regulatory focus/intensity, followed by new interest rate regime/inflation (62%), recessionary environment (51%), disruption by challengers and heightened consumer compliance expectations (both 42%).