Text The board has requested the following pieces of information from the risk management function: • current risk appetite • current risk profile • projected risk profile • economic capital requirement for the insurance subsidiary (vii) Explain why the board has requested this information from the risk management function. Question Shouldn't the Board already know the current risk appetite as this is set by the board? Definition of Risk Appetite from summary page of chapter 9 Risk appetite is the degree of risk an organisation or individual is willing to take in order to achieve the objectives. It reflects the type of risk and their level. For a company this is set by the Board of Directors
