12.2 Main risks of mBank Group’s business

The Management Board of mBank takes measures necessary to ensure that mBank manages all significant risks arising from the implementation of the adopted business strategy.

Within the Group’s risk inventory process implemented under the principles of ICAAP (Internal Capital Adequacy Assessment Process), the following risks were identified in the operations of the Group in 2014:

12-risks

The Bank monitors all the aforementioned risks within ICAAP. Due to the specificity and characteristics of the portfolio, the section presents the rules of monitoring credit risk, operational risk, liquidity risk, market risk of the trading book as well as interest rate risk of the banking book in mBank Group using risk measures applied by mBank and taking into account differences in the profile and scale of business of the Group.