Proprietary Risk Management Clearinghouse
A computerized risk management method and system for facilitating analysis and quantification of risk associated with a risk subject on a proprietary basis. A proprietary risk management system combines gathered information with information received from a source such as an automated risk management clearinghouse system and maintains a database to relate risk variables and calculate a measurement of risk. The measurement, which can be a risk quotient or other rating based upon a weighted algorithm applied to the risk variables, is indicative of risk associated with the risk subject. Actions commensurate with a risk quotient can be presented to a user to facilitate management of risk associated with a particular entity or transaction or other transaction. A stored history can be created to mitigate adverse effects relating to a problematic transaction.
1 - 21 . (canceled)
22 . A computer system implemented method for managing risk, the method comprising:
receiving into the computer system data descriptive of informational artifacts having content related to at least one of: reputational risk, regulatory risk, and legal risk;
defining, within the computer system, risk variables based on the data descriptive of the informational artifacts, wherein the risk variables are generally related to one or more financial transactions;
receiving, into the computer system, proprietary data relating to a particular financial transaction;
identifying, by the computer system, at least two of the risk variables associated with the particular financial transaction;
generating, by the computer system, a numerically weighted value for each of the at least two risk variables, wherein each numerically weighted value indicates a degree of risk associated with the respective risk variable;
adjusting, by the computer system, the numerically weighted values based on one or more relationships between the at least two risk variables;
calculating, by the computer system, a risk quotient based on the adjusted numerically weighted values; and
generating a report comprising the risk quotient and a description of the informational artifacts associated with the at least two risk variables.
23 . The method of claim 22 wherein the risk quotient comprises a quantitative indication of at least one of: reputational risk, regulatory risk, and legal risk, associated with the particular financial transaction.
24 . The method of claim 22 , wherein the data descriptive of the informational artifacts is received from a risk management clearinghouse data provider.
25 . The method of claim 22 further comprising generating a suggested action based on the informational artifacts associated with the at least two risk variables.
26 . The method of claim 25 wherein the suggested action is directed toward reducing risk.
27 . The method of claim 25 further comprising recalculating the risk quotient based upon implementation of the suggested action.
28 . The method of claim 25 wherein the suggested action comprises refusing to perform a transaction.
29 . The method of claim 25 wherein the suggested action comprises blocking opening of an account.
30 . The method of claim 25 wherein the suggested action comprises notifying a law enforcement authority.
31 . The method of claim 22 wherein the data descriptive of a particular financial transaction comprises an identity of a secrecy jurisdiction.
32 . The method of claim 22 wherein receiving the proprietary data relating to a particular financial transaction comprises screening data traversing a network or communications link.
33 . A system for managing regulatory and reputational risk, the system comprising:
a memory storing computer executable instructions; and
a computer processor configured to execute the instructions to:
receive data descriptive of informational artifacts having content related to at least one of: reputational risk, regulatory risk, and legal risk;
define risk variables based on the data descriptive of the informational artifacts, wherein the risk variables are generally related to one or more financial transactions;
receive proprietary data relating to a particular financial transaction;
identify at least two of the risk variables associated with the particular financial transaction;
generate a numerically weighted value for each of the at least two risk variables, wherein each numerically weighted value indicates a degree of risk associated with the respective risk variable;
adjust the numerically weighted values based on one or more effects the at least two risk variables can have upon each other;
calculate a risk quotient based on the adjusted numerically weighted values; and
generate a report comprising the risk quotient and a description of the informational artifacts associated with the at least two risk variables.
34 . The system of claim 33 , wherein the data descriptive of the informational artifacts is received from a risk management clearinghouse data provider.
35 . The system of claim 33 wherein the computer processor further executes the instructions to generate a suggested action based on the informational artifacts associated with the at least two risk variables.
36 . The system of claim 35 wherein the suggested action is directed toward reducing risk.
37 . The system of claim 35 wherein the suggested action comprises refusing to perform a transaction.
38 . The system of claim 35 wherein the suggested action comprises blocking opening of an account.
39 . The system of claim 33 wherein the data descriptive of a particular financial transaction comprises an identity of a secrecy jurisdiction.
40 . The system of claim 33 further comprising calculating an average risk quotient for multiple financial transactions associated with a financial institution.
41 . A non-transitory computer-readable medium comprising computer readable instructions that, when executed by one or more computer processors, direct the one or more computer processors to:
receive data descriptive of informational artifacts having content related to at least one of: reputational risk, regulatory risk, and legal risk;
define risk variables based on the data descriptive of the informational artifacts, wherein the risk variables are generally related to one or more financial transactions;
receive proprietary data relating to a particular financial transaction;
identify at least two of the risk variables associated with the particular financial transaction;
generate a numerically weighted value for each of the at least two risk variables, wherein each numerically weighted value indicates a degree of risk associated with the respective risk variable;
adjust the numerically weighted values based on one or more relationships between the at least two risk variables;
calculate a risk quotient based on the adjusted numerically weighted values; and
generate a report comprising the risk quotient and a description of the informational artifacts associated with the at least two risk variables.
42 . The computer-readable medium of claim 41 wherein the instructions further direct the one or more computer processors to generate a suggested action based on the informational artifacts associated with the at least two risk variables.