QuestionQ378

Risk Assessment

Which of the following is the MOST valuable data source for supporting optimization of an existing key risk indicator (KRI)?

  • A Historical losses and incidents
  • B Organizational policies
  • C Industry benchmarks
  • D Frameworks and standards
Explanation

Historical losses and incidents provide direct evidence of realized risk events, their frequency, and their impact. This data supports calibrating KRI thresholds and assessing whether the indicator effectively signals increasing risk exposure.

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