Business school launches new research consortium to better prepare for next systemic risk

The Cambridge Centre for Risk Studies (CCRS) at the University of Cambridge Judge Business School is launching a new research consortium focused on protecting society from future systemic risks.

Funding will be provided by an international collection of companies, including reinsurance mutual Pool Re.

The research consortium plans to explore the design of new financial instruments, as well as evaluate their benefit in terms of return on underwriting capital, consumer protection and societal benefits.

The consortium will cover topics such as pandemics, cyber threats, geopolitical change, financial crisis and climate change.

CCRS hopes the research results will provide consortium members with the opportunity to collaborate with public bodies, nationally and internationally, to create policies focusing on risk reduction.

Michelle Tuveson, executive director and chairman of the advisory board at CCRS, said: “We are honoured to be leading this private sector consortium – [its] guidance in steering our research will be invaluable as we create new private market risk management products and services together.”

Equipping and protecting

Pool Re chief executive and chairman of the industry consortium Julian Enoizi said: “The Covid-19 pandemic triggered the deepest economic recession in our lifetime.

“Our policies, preparedness and financial responses require a significant overhaul if we are to better equip and protect society from the next major systemic risk that threatens our way of life.

“The insurance industry is committed to coordinating and collaborating with the wider communities and I am honoured to partner Pool Re with the Cambridge Centre for Risk Studies, [which brings] deep academic rigour to this new and expanding consortium.”