Today’s geopolitical risk environment is fraught with a wide variety of tripwires to corporate operations, share value and reputation. The early warning and expertise of RWR is designed to help navigate these risks with forward-looking, empirically based insights.
A variety of unconventional risk factors face companies operating internationally. Although compliance departments have long focused on the “technically illegal” dimensions of a company’s track record, a significant amount of risk resides in the “gray area” of technically legal activity that is still exposed to negative market pressures.
Merely complying with official sanctions and designations and understanding the lines between the illicit and licit worlds is no longer sufficient. Corporate reputations and share value are being harmed just as frequently by disclosures coming from the media, legislators, policy-makers, activist groups and other constituencies that have little to do with the “letter of the law.” As a result, global security risk factors represent some of the least understood, yet potentially most harmful, forms of asymmetric risk in the markets.
Companies require early warning and sound counsel concerning how their global activities will be perceived by the markets — not just how they will be judged by the enforcement divisions of various government agencies. Asset managers and institutional investors have need for similar information.
Knowledge is also important across a range of other issues in the “political risk” domain that have become more prominent lately, including U.S. politics and the bilateral relationships between key allies as well as among competitors and adversaries. RWR has decades of experience providing early warning and situational awareness in these areas.