Having worked as an executive director for a proprietary trading firm for a period, I am only too aware of how good risk management intentions can be nullified by culture and attitude. Managing risk isn’t just about having processes in place, analytics and so on, it is about a top to bottom culture and that is often hard to instil and maintain – especially in good times. Last week, I had the pleasure of discussing this with Bill Quadrini, MD, Strategy and Innovation, CubeLogic, in some detail. His passion for credit risk is obvious and his background – working in and around credit risk with large and small customers over the last 20-years – has afforded him some remarkable insights. It’s all about incentives and culture at the end of the day, he told me. “Despite everything being so much more evolved now in terms of technologies and solutions, the human element always remains.” As Bill points out, the last big crash was now 15-years ago. That means that some in the industry in positions of authority and management have never experienced what that is like. “Perhaps as much as one third to a half of the workforce have never… continue reading