Although regulators have been accused of making matters more complicated, the recent consultation issued by the Basel Committee on Banking Supervision (BCBS) on operational risk aims to simplify the process. It has proposed creating a new standardised measurement approach (SMA) to replace all existing and proposed methods of calculating regulatory capital for operational risks. Industry… Read More >>
FSB’s Capital Requirements Target ‘Too Big to Fail’
The Financial Stability Board (FSB), the six-year-old international body created in response to the Great Recession, has issued requirements intended to keep “systemically important” banks solvent particularly during crisis in an effort to prevent firms that are “too big to fail” and have to be bailed out via government funds. The financial requirements for banks… Read More >>
