Financial Institutions Practice
In the sophisticated global markets of today's financial world the term 'Financial Institution' (FI) has many connotations and can include the largest of a globally based enterprise to the smallest boutique house specialising and focusing in a specific niche within the global financial markets.
Some examples of financial institutions in our current market include Central banks, stock exchanges, clearing houses, stock brokers, hedge funds, private equity firms, asset managers/ investment managers, venture capital firms, investment trusts, unit trusts, pension funds, life funds, credit unions, building societies, commercial banks, investment banks, merchant banks, retail banks, insurance companies, etc.
The vulnerability and the risk exposure of financial institutions are both broad, in terms of the number of vulnerable areas and areas of inherent risk, and large, in terms of amounts and values at risk. The threat in terms of crime, unauthorised trading, negligence, corporate governance issues, regulatory issues, shareholder disputes/ issues, dissatisfied customers, etc., has culminated in a thriving insurance market willing and able to insure the most sophisticated of Financial Institutions, enabling the transfer of risk to Insurers from the “Financial Institution’s” balance sheet.
The main areas of insurance coverages available to our FI clients are as follows:-