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Adapting to Basel III and IV
Re-engineering capital, business mix and performance management practices post-crisis
Discipline: Regulation, Operational Risk
First published:
As a result of Basel III and IV, and Solvency II, all financial institutions will have to re-think their business planning and strategic management practices whilst also trying to meet their income needs. Adapting to Basel III and IV examines how the financial sector is tackling these challenges, drawing on a variety of examples from the banking and insurance industries.
Contents
Introduction
Environmental Forces: Economic Instability, Low Interest Rates, Change in Demographics, Continuing Regulatory Changes and Digital Evolution
Current Practices and their Shortcomings in Risk, Capital, Business-mix and Performance Management
Evolution of Economic Capital Measurement and Management
Integrated Capital Management: ICAAP and ORSA
Procyclicality Management: Developing a Coherent Risk Rating Framework for Risk Management, Capital Management, Stress Testing and IFRS 9 Purposes
Capital Optimisation and Business-mix Management
Performance, Profitability Management and Hurdle Rate
Optimal Management of the Interest Rate Risk in the Banking Book
Prudent LGD Estimation for Mortgages
Developing and Implementing Effective Fintech Strategies
Implementing IFRS 9 by Adapting AIRB Models
Organisational (Re)alignment