Banking professionals understand the importance of their companies’ reputations. Research by media communications specialists Weber Shandwick found that global executives attribute 63 percent of their company’s market value to its reputation.

Yet, unexpected events and resulting bad news can quickly damage a bank’s reputation and stock value. 12.6% of sudden plunges in stock prices are attributable to reputational issues, according to research from business consultancy Oliver Wyman. So why are so few firms taking adequate steps to protect their reputations? Even large organizations can be caught off-guard and suddenly find themselves managing events reactively.

Managing reputational risk is a complex and ongoing discipline in the banking industry. Regulations, digital innovation, the internet, sanctions, cybersecurity, and data breaches converge with rising levels of financial crime and fraud to create a unique risk landscape that is difficult to manage.

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