The Basel Landscape – Basel III, FRTB, and Basel IV

Workshop Overview

The regulatory response to the 2007-2009 financial crisis was contained in Basel III which, building on the Basel II Accord, sets out to make capital requirements more risk-sensitive, enhance risk coverage and strengthen the loss absorbency of available capital. It introduced the concept of building capital buffers during good times so that banks are better positioned to absorb the losses that occur during periods of stress. Basel III-related requirements further introduced new liquidity management and leverage standards, and provisions for counterparty credit risk. This course will also identify related significant topics including Stress Testing & Scenario Modelling. Next is Basel IV. Basel IV is not a single regulatory framework, but rather a collection of changing international banking standards. The Basel Committee views these reforms as simply completing the Basel III Accord and contests the use of the unapproved term ‘Basel IV. Irrespective of the terminology, significant new burdensome requirements are being introduced by the Bank for International Settlements (BIS) and the Basel Committee of Banking Supervision (BCBS) under Basel IV. Basel IV is being ref to as the most comprehensive transformation package in the history of the Basel regulations. Your organization will undoubtedly want to limit the potential disruption of Basel IV and initiate opportunities to get ahead of the new regulations by looking at what is changing and what you can do to prepare. This course will focus exclusively on Basel and covers the most important changes and issues of the regulatory Basel landscape to help executives, and other interested professionals, absorb this complex material clearly and concisely.