Summary:
- This article discusses the "data gap" in risk management, which refers to the lack of comprehensive data and analytics that financial institutions need to accurately assess and manage their risks.
- The article explains that this data gap is already impacting the balance sheets of these institutions, as they are unable to fully account for and mitigate the risks they face.
- The article suggests that addressing this data gap through improved data collection, analysis, and risk modeling is crucial for financial institutions to maintain a healthy balance sheet and avoid potential financial crises.