Search Results for: basel

Finalized Basel Market Risk Capital Rule Improves Bank Capital Comparability

From Moody’s. Last Thursday, the Basel Committee for Banking Supervision (BCBS) finalized its market risk capital framework, known as the Fundamental Review of the Trading Book. The final rule, which updates the Basel II and 2.5 approaches and takes effect January 2019 will increase the transparency and consistency of reporting risk-weighted assets (RWA) and capital … Continue reading “Finalized Basel Market Risk Capital Rule Improves Bank Capital Comparability”

Banks May Need More Capital to Cover Basel Step-In Risk

The Basel Committee on Banking Supervision’s proposals concerning step-in risk are most likely to have an impact on banks with large asset and wealth management, investment fund, and securitisation origination and sponsorship activities, says Fitch Ratings. The Basel Committee launched a consultation on 17 December 2015 to assess whether banks should hold capital specifically to … Continue reading “Banks May Need More Capital to Cover Basel Step-In Risk”

SME Deposits and Basel

APRA has today written to ADIs about best practices in assessing SME deposits accounts. Essentially, in a recent review of 14 institutions, they found significant inconsistencies, based on how individual ADI’s were choosing to flag balances as a “stable deposit”, whether the customer was in a “stable relationship” with the ADI, and which types of … Continue reading “SME Deposits and Basel”

Proposed Basel Market Risk Framework Will Demand More Capital

Trading banks will find their capital requirements rising by more than 2%, according to the Basel Committee on Banking Supervision who has today published the results of its interim impact analysis of its fundamental review of the trading book. The report assesses the impact of proposed revisions to the market risk framework set out in … Continue reading “Proposed Basel Market Risk Framework Will Demand More Capital”

Basel III Implementation In Australia: Slow But Sure?

A progress report (the ninth) on adoption of the Basel regulatory framework was issued today by BIS.  This report sets out the adoption status of Basel III regulations for each Basel Committee on Banking Supervision (BCBS) member jurisdiction as of end-September 2015. It updates the Committee’s previous progress reports, which have been published on a … Continue reading “Basel III Implementation In Australia: Slow But Sure?”

Latest Global Basel III Monitoring Results Announced Today

The Bank for International Settlements has just released its latest Basel III Monitoring Report.  This included five banks from Australia, four group one, and one group two bank. This report presents the results of the Basel Committee’s latest Basel III monitoring exercise. The study is based on the rigorous reporting process set up by the … Continue reading “Latest Global Basel III Monitoring Results Announced Today”

Guidelines for identifying and dealing with weak banks released by the Basel Committee

The Basel Committee on Banking Supervision today published the final Guidelines for identifying and dealing with weak banks. Weak banks are a worldwide phenomenon. They pose a continuing challenge for bank supervisors and resolution authorities in all countries, regardless of the political structure, financial system and level of economic and technical development. All bank supervisors … Continue reading “Guidelines for identifying and dealing with weak banks released by the Basel Committee”

Basel III Stable Funding Disclosure Standards Will Improve Bank Transparency – Moody’s

According to Moody’s, the Basel III disclosure standards which were finalised recently, are positive for creditors of internationally active banks because they will improve transparency into bank funding, allowing investors to assess the adequacy and reliability of funding for a bank’s least-liquid assets, including loans. Detailed NSFR disclosure is positive for bank investors evaluating a … Continue reading “Basel III Stable Funding Disclosure Standards Will Improve Bank Transparency – Moody’s”

RBNZ Updates On Basel III

The NZ Reserve Bank today published an article in the Reserve Bank Bulletin that describes the Reserve Bank’s implementation of the Basel III capital requirements. It is one of the clearest articulation of Basel III that we have read, and is recommended to those seeking to get to grips with the complexity of the evolving … Continue reading “RBNZ Updates On Basel III”

Basel Committee Consults on Interest Rate Risk in the Banking Book

The Basel Committee on Banking Supervision has issued a consultative document on the risk management, capital treatment and supervision of interest rate risk in the banking book (IRRBB). This consultative document expands upon and is intended to ultimately replace the Basel Committee’s 2004 Principles for the management and supervision of interest rate risk. The Committee’s … Continue reading “Basel Committee Consults on Interest Rate Risk in the Banking Book”