Risk Reporting in the Banking Sector: Risk Exposure versus Risk Management

Kathrin Kureck

SMR - Journal of Service Management Research, 2019, vol. 3, issue 2, 91-108

Abstract: This paper investigates the formulation of risk reporting and its influence on individuals’ information processing and judgment and decision-making. In Germany, disclosing companies provide much more information about their risk management system and less about their risk exposure. It is questioned whether this formulation is appropriate to inform the users sufficiently according to the legislators’ aim – i. e., that risk reporting should provide useful information for individuals to decide independently about their current and prospective financial engagement. Using an experimental approach and basing on recent exploratory research another content-related arrangement is examined. The current study shows how another formulation of risk reporting, namely providing more risk exposure and fewer risk management system information, can reduce individuals’ cognitive strain and the possibility of an overload, and can lead to improved performances in individuals’ judgment and decision-making.

Date: 2019
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.nomos-elibrary.de/10.15358/2511-8676-2019-2-91 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nms:nomsmr:10.15358/2511-8676-2019-2-91

Ordering information: This journal article can be ordered from
Nomos Verlagsgesellschaft mbH & Co. KG, Waldseestraße 3-5, 76530 Baden-Baden, Germany
https://www.nomos-sh ... -research-id-114066/

DOI: 10.15358/2511-8676-2019-2-91

Access Statistics for this article

SMR - Journal of Service Management Research is currently edited by Prof. Dr. Marion Büttgen, Prof. Dr. Andreas Eggert, Prof. Dr. Heiner Evanschitzky, Prof. Dr. Christiane Hipp, Prof. Dr. Jens Hogreve, Prof. Dr. Joachim Hüffmeier, Prof. Dr. Helmut Krcmar and Prof. Dr. Martin Matzner

More articles in SMR - Journal of Service Management Research from Nomos Verlagsgesellschaft mbH & Co. KG
Bibliographic data for series maintained by Nomos Verlagsgesellschaft mbH & Co. KG ().