An understanding of risk-taking and transparency in risk-taking are key elements in the Danske Bank Group’s business strategy and thus in its ambition to be a strong financial partner. The Group’s internal risk management processes support this objective. The Group’s general ambition is to match the best practices in risk management. It spends considerable resources on developing procedures and tools to support this ambition and has developed substantial expertise in risk management. Risk management is a process conducted independently of the business units of the Group. It can be divided into the following key components: Identification of risk types The Group endeavours to identify all material risks that may affect it. This is a dynamic process that takes risk management considerations into account in the development of new products. Risk policies To ensure that the Group’s business areas comply with the approved risk limits, the Board of Directors has adopted an overall risk management policy regulating all risk-taking by the Group. Measuring and managing risk The Group spends considerable resources on maintaining an up-to-date IT platform to support risk management, applying a large number of models and methods to measure the risks affecting it. The Group continually monitors models and validates risk parameters to ensure that risk measurement gives a fair presentation of the underlying portfolios and transactions. Parameter applications In order to best capitalise on its risk appetite, the Group uses risk-based parameters as input for risk assessment and pricing models in the daily handling of customer transactions. Control The Group has established an independent control organisation to monitor and enforce approved policies and limits. Reporting The Group applies systematic risk reporting at all organisational levels and demonstrates openness in reporting risk factors to its stakeholders.		Watch an interactive profile of the Danske Bank Group.