Why risk retention strategies matter

Lockton Companes LLP addressed the issue of hidden volatility on balance sheets created by risk retention strategies in a session led by former ICI Risk Manager Ian Canham.

They discussed how risk retention strategies are founded in the real world and not on a theoretical plane and how the impact of these strategies is accounted for within their companies. Workshop attendees will also learnt how misunderstanding between corporate risk functions and risk managers can create a potential unexpected shortfall in company results. The other major topical issue was today’s corporate environment, governance is not an optional extra but a legal requirement that affects risk managers in everything they do.

“Risk retention creates potential undisclosed volatility to shareholders so corporate finance must understand the potential affect of risk retention strategy,” said Canham.

Airmic represents more than 1,000 professional insurance buyers and risk managers, including 70% of FTSE 100 companies. Their annual conference takes place in Bournemouth June 6-8.

For further information, Mark Baylis, Complete Communications,  +44(0) 7775 693994, mark.baylis@airmic.co.uk