Luc Neuberg (ALRIM): Risk Transfer
In addition to traditional risks, risk managers face increasing regulatory obligations and new forms of risk. Interview with Luc Neuberg, Chairman of ALRiM
Could you introduce the ALRiM in a few words?
ALRiM is the Luxembourg Risk Management Association. Our main objective is to promote the culture of risk management. The association was created over 20 years ago under the name PRiM (Professionnels du Risk Management). Since then, risk management has started to have an impact on more and more key players, not just risk managers, so now we include any professional interested in and impacted by risk management, i.e. virtually all financial key players. There are currently more than 300 members from all areas of finance, banking, investment funds, insurance and all types of positions, including administrators, front office, middle office and back office workers.
"To be a member of ALRiM is to be part of a community of professionals interested in the different aspects of risk management"
How is the profession of Risk Officer evolving?
The profession of risk manager is evolving from a highly specialised job based on technical financial aspects to a more generalist role, albeit one with a very clear regulatory focus. Although so-called "traditional" risks such as market, credit, liquidity and operational risks remain a daily concern, they unfortunately often take a back seat, in particular due to a workload linked to reporting requirements. In addition, new types of risks are emerging, such as climate risk, sustainability risks (ESG criteria, Green Finance) and cyber risks, which shift the primary focus away from traditional risks. New technologies provide real support to the business, but also favour a distance between risk managers and the entities they manage, through growing automation and outsourcing of financial expertise.
How does ALRiM defend its members?
Being a member of ALRiM means being part of a community of professionals interested in the various aspects of risk management. ALRiM interacts as an institution with other associations and parties in the Luxembourg financial centre, and also internationally. For example, the association is represented on CSSF Committees (such as the Anti-Money Laundering Advisory Committee), on the Board of the ABBL Foundation, and in the ALFI Risk Management Working Group. These different contributions ensure that members have a voice and that their interests are defended within the financial centre. ALRiM is also a member of FERMA (Federation of European Risk Management Associations), with a European base which provides a broader view of the issues. All these partnerships allow our members to take part in a panel of conferences and to be represented at them. Finally, ALRiM is also involved in training, and has developed two risk management certifications (one for banking and one for investment funds) in collaboration with the House of Training. Many of our members contribute to these training sessions as trainers.