
Explanation:
Asymmetry of operational risk event data is indeed a challenge in non-financial risk data reporting. This is because operational risk event data is often characterized by a small number of low-frequency, high-severity loss occurrences that account for the majority of operational loss severity. This asymmetry can make it difficult to accurately assess and manage operational risk, as the majority of losses are caused by relatively rare events. Therefore, addressing this asymmetry is a key challenge in non-financial risk data reporting.
Q.5099 Which of the following is a challenge of non-financial risk data reporting?
A
Risk appetite metrics
B
Action plans and follow up
C
Asymmetry of operational risk event data
D
Incidents and near misses
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