Course Overview
Knowledge of the Basel/CRD-CRR rules is essential for anyone working in the financial sector and of course for banks in particular. This is however a significant challenge both due to their complexity and because they keep changing. The course covers the main elements and the main changes introduced since the 2008 crisis by both Basel III (CRD IV and CRR) and so-called Basel IV (CRD V and CRRII) and other still-to-be-implemented measures. It also includes connected regulatory measures such as EMIR, the BRRD and SRMR and the revisions in these areas to give a comprehensive overview.
| Date | 28 of May, 2023 |
| Time | 09:30 – 16:30 UK Time |
| Duration | 6 hours |
| Price | GBP 774 (incl. VAT) |
Training Objectives
By the end of the programme, participants will:
• Know which areas of regulation are changing and in which way
• Understand the degree of impact each regulation has
• Understand the overall impact of the regulations on their business model
• Understand how some of the calculations are done
• Gain an idea of how much they will need to change their current processes to comply and the level of resources they need to commit
Training Outline
• Overview of a standard commercial bank’s business model and the main risks it involves
• Overview of the evolution of banking regulation and its key areas
• The three pillars
• Approach levels
• Pillar 1
• Credit risk
• From Standardised to Revised
• IRB and the Output floor
• Counterparty Credit Risk, how it arises, the Revised Standardised and other methods
• Credit Valuation Adjustment (CVA), how it arises and how even Basel III is changing
• Market risk and ‘Basel IV’/Fundamental Review of the Trading Book (FRTB)
• The proposed Revised method, including the Sensitivities-based Method
• Changes to the Internal Model Method (IMM)
• Operational risk
• The proposed Revised Standardised approach and end of the Advanced
• Capital ratios
• The various key ratios and buffers, including MREL
• Capital
• What counts – Common Equity Tier 1, etc.
• What must be deducted
• The Leverage Ratio
• Exposures
• Liquidity
• The Liquidity Coverage Ratio
• Inflows, outflows and High Quality Liquid Assets (HQLA)
• The Net Stable Funding Ratio (NSFR)
• Required v Available Stable Funding – the different weights
• Pillars 2 and 3
• Interest Rate Risk in the Banking Book (IRRBB)
• Internal Capital Adequacy Assessment Process (ICAAP) and Supervisory review, stress tests, governance
• Disclosure
• Banking regulation and the market – the impact on Return on Equity
Industry Expert | Michael Stafferton
Michael began his financial markets career in 1986 on the Financial Engineering desk at Yamaichi International, then one of the so-called ‘Big Four’ Japanese securities houses. The desk was mainly responsible for designing, structuring and swapping vanilla and structured bond issues for European clients. He then moved to a coverage role, predominantly in the UK and Eire, with responsibility for some of the more technically demanding clients, including the Bank of England and the European Investment Bank. He greatly expanded the volume of deals done, including a government, major banks, building societies and corporates. The role also involved working on UK privatisations and with the bank and fund management arm. In 1994 he moved to Kleinwort Benson with responsibility for debt, convertible and tax-structured origination with a number of top UK companies and helped launch an FRN. He has been training across a wide spectrum of cash instruments, derivatives, commodities and in risk management and regulation since 1999, at up to senior management level globally, his clients comprising mainly the top tier investment banks and fund managers, and is the author of a textbook on credit derivatives (Credit Derivatives Workbook, Euromoney, 2004). He is an Associate with Moody’s.
Who Should Attend
This course is ideal for:
• All financial firms and especially bank staff, in particular:
• Senior managers
• Compliance officers
• Finance/control staff
• Internal auditors
• Treasury staff
• Bank investors
• Central bank regulators
Ticket Information
Additional Details
Price - 774
Duration - 6
CPDs - 6
Organizer
INTRODUCTION
Michael began his financial markets career in 1986 on the Financial Engineering desk at Yamaichi International, then one of the so-called ‘Big Four’ Japanese securities houses. The desk was mainly responsible for designing, structuring and swapping vanilla and structured bond issues for European clients. He then moved to a coverage role, predominantly in the UK and Eire, with responsibility for some of the more technically demanding clients, including the Bank of England and the European Investment Bank. He greatly expanded the volume of deals done, including a government, major banks, building societies and corporates. The role also involved working on UK privatisations and with the bank and fund management arm.
EDUCATION & QUALIFICATIONS
Michaels holds a degree in History and has a Post Graduate Certificate in Education, from the Dept of Education from Cambridge University. He is the author of a textbook on credit derivatives (Credit Derivatives Workbook, Euromoney, 2004). He is an Associate with Moody’s.
AREAS OF EXPERTISE & EXPERIENCE
Michael is an experienced financial trainer with a background in the financial markets, originally in the Fixed Income and Derivatives space. Over the years he have extended his knowledge to include risk management and regulation. Michael spends a considerable amount of time keeping up to date on developments in finance and the economy.
He has been delivering training across a wide spectrum of financial markets and in risk management and regulation since 1999, at up to senior management level globally, his clients comprising mainly the top tier investment banks, fund managers and insurers. His areas of expertise are capital markets, banking regulation and risk management.