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Risk management negligence within the financial services industry contributed to one of the most significant economic crisis in the recent history of the United States. During this time, Lehman Brothers, a global financial services company, filed for bankruptcy protection. This created the largest bankruptcy ever within the financial services industry.

Information related to Lehman Brothers' bankruptcy, the financial risk factors that contributed to the failure, and management's responsibility for the failure.

-High-risk investments such as mortgage-backed securities had a significant impact on the valuation of investments held with Lehman Brothers, yet many financial institutions continue to use these investments today. Assess the sufficiency of risk management techniques used by financial institutions today, indicating whether you believe the risk is appropriately managed to avoid a subsequent financial crisis. Provide support(sources) for your position.

Reference no: EM133061880

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