Basel Committee aims to constrain internal risk modeling

The Basel Committee on Banking Supervision will publish proposals to constrain internal risk modeling by banks by the end of the year, its chairman Stefan Ingves said on Monday.

The move signals that international regulators remain intent on taking away the leeway that was given to large banks before the financial crisis to assess their own capital buffer needs.

Taking his audience in Madrid back to the turn of the century, Mr. Ingves said that the use of internal models for assessing credit risk was a defining feature of the previous regulatory framework, known as Basel II.

Read more: http://www.nasdaq.com/article/basel-committee-to-stop-banks-gaming-risk-models-20151102-00762#ixzz3qeFEuGU9

Related Posts

Previous Post
NetOTC launches bilateral platform for non-cleared OTC derivatives ahead of schedule
Next Post
FICC’s GCF Repo® suspends interbank trading

Fill out this field
Fill out this field
Please enter a valid email address.

X

Reset password

Create an account