7-97 The BIS definition: "the risk of loss resulting from inadequate or failed internal processes,people,and systems or from external events," encompasses which of the following risks?

Question

Quizplus · Accepted Answer

The BIS definition refers specifically to operational risk, which encompasses risks related to internal processes, people and systems, as well as external events. Technology risk, which relates specifically to IT systems and infrastructure, is a subset of operational risk. Therefore, option B (Operational risk and technology risk) is the best answer. The other options do not accurately reflect the risks encompassed by the BIS definition.

7-97 the BIS Definition: "The Risk of Loss Resulting from Inadequate