
Ultimate access to all questions.
When evaluating a bank's data as part of an enterprise risk management (ERM) system, it is essential to identify any deviations from standard industry practices to ensure the bank remains competitive and compliant. Consider the following findings from the bank's data analysis. Which of these findings would be considered anomalous when compared to data from other financial institutions within the same industry?
A
The operational risk loss distribution has many small losses, and therefore a relatively low mode.
B
The operational risk loss distribution is symmetric and fat-tailed.
C
The credit risk distribution is asymmetric and fat-tailed.
D
The market risk distribution is symmetric.