OM-8.2.18
When approving and reviewing the risk appetite and tolerance statement, the board of directors must consider all relevant risks, the bank's level of risk aversion, its current financial condition and the bank's strategic direction. The risk appetite and tolerance statement should encapsulate the various operational risk appetites within a bank and ensure that they are consistent. The board of directors must approve appropriate thresholds or limits for specific operational risks, and an overall operational risk appetite and tolerance.
Added: October 2012