Value and Capital Management: A Handbook for the Finance and Risk Functions of Financial Institutions

The Value Management Handbook is a comprehensive, practical reference written specifically for bank and insurancevaluation and value management. Spelling out how the finance andrisk functions add value in their respective spheres, this bookpresents a framework for measuring - and more importantly, influencing - the value of the firm from the position of theCFO and CRO. Case studies illustrating value-enhancing initiativesare designed to help Heads of Strategy offer CEOs concrete ideastoward creating more value, and discussion of "hard" and "soft"skills put CFOs and CROs in a position to better influence strategyand operations. The challenge of financial services valuation isaddressed in terms of the roles of risk and capital, andbusiness-specific "value trees" demonstrate the source ofsuccessful value enhancement initiatives.

While most value management resources fail to adequately addressthe unique role of risk and capital in banks, insurance, and assetmanagement, this book fills the gap by providing concrete, business-specific information that connects management actions andvalue creation, helping readers to:

• Measure value accurately for more productive value-basedmanagement initiatives and evaluation of growth opportunities
• Apply a quantitative, risk-adjusted value management frameworkreconciled with the way financial services shares are valued by themarket
• Develop a value set specific to the industry to inspireinitiatives that increase the firm's value
• Study the quantitative and qualitative management frameworksthat move CFOs and CROs from measurement to management

The roles of CFO and CRO in financial firms have changeddramatically over the past decade, requiring business savvy and theability to challenge the CEO. The Value Management Handbookprovides the expert guidance that leads CFOs and CROs toward betterinformation, better insight, and better decisions.