I would like bring to your attention the blog by Donald van Deventer from the Kamakura Corporation.  We may both write about risk management but on a risk management scale, Don is to Thomas Jefferson what I am Bart Simpson. Don is the real deal.

He writes about his experiences in risk management with quotes by Lance Armstrong woven through the post. It’s very good so please have a look.

http://kamakuraco.com/Company/ExecutiveProfiles/DonaldRvanDeventerPhD/KamakuraBlog/tabid/231/EntryId/169/Risk-Management-Lessons-from-Lance-Armstrong.aspx

The annual Banana Skins survey from the Centre for the Study of Financial Innovation is always fun to read. So I decided I would dig up the 2000 list and compare it to the 2008. Each year bankers, regulators and observers are surveyed and asked to list their banana skins (as in what is going to make them slip up.)

These lists are usually hard to get when first issued because PwC distributes this thought leadership to clients usually at a nice lunch. If you click on the PwC link above, you can find complete lists.

Here is the list from 2000:

1 Equity market crash

2 E-commerce risks

3 Asset quality

4 Grasp of new technology

5 High dependence on technology

6 Banking market over-capacity

7 Merger mania

8 Economy overheating

9 Competition from new entrants

10 Complex financial instruments

And here is the list from 2008:

1 Liquidity

2 Credit risk

3 Credit spreads

4 Derivatives

5 Macroeconomic trends

6 Risk management techniques

7 Equities

8 Too much regulation

9 Interest rates

10 Hedge funds