The concept of enterprise risk management encourages FIs to manage all of the risks to which they are exposed as a portfolio, rather than managing each risk individually.

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The statement is true. The concept of enterprise risk management emphasizes managing all risks as a collective portfolio, rather than treating each risk in isolation. This approach helps FIs to identify and assess their overall risk exposure, prioritize risk mitigation efforts, and allocate resources more effectively.

The Concept of Enterprise Risk Management Encourages FIs to Manage