The implementation of CRD IV in the UK and all other EU countries with effect from 1 January 2014 has made substantial changes both to prudential regulation and to reporting requirements.
All banks and building societies, as well as some investment firms, are subject to the requirements of CRD IV. There are significant differences in application depending on the nature, size and complexity of financial institutions.
This half-day workshop (1pm-5.30pm) provides an overview of the regulatory requirements and is targeted at small to medium sized regulated financial institutions.
After attending this workshop, participants will be able to have a high level understanding of:
- The content and scope of the CRD IV rules and which rules are applicable to their firm and which are not;
- The changes in the computation and assessment of capital adequacy;
- The new liquidity adequacy requirements; and
- Insight to how these rules work in practice through practical examples and case studies
Who should attend?
This half-day workshop is aimed at individuals in finance and compliance roles who are involved in, or responsible for, the assessment, computation, reporting and monitoring of capital and liquidity adequacy with respect to CRD IV. The workshop is most suitable for those who are taking on responsibilities in these areas for the first time or who work in a particular area and wish to acquire high level understanding of the other areas.
- Background and Purpose – the rationale for having a capital adequacy framework
- Application of CRD IV – what are the main rules and who are the key stakeholders in the regulatory landscape?
- Regulatory Capital Resources – what can be considered as capital resources?
- Regulatory Capital Requirements – assessment of the key Pillar 1 capital requirements
- Calculation of Exposure Amounts and Risk Weighted assets
- High level Pillar 1 case study (illustrating key components and calculations in a small bank)
- The ICAAP process – Pillar 2a, Pillar 2b and the CRD IV capital buffers
- High level ICAAP case study (illustrating key components and calculations of the ICAAP in a small bank)
- Large Exposures – what are the key reporting requirements and why is it important?
- Liquidity and Funding – Overview of Liquidity Coverage Ratio
- Supervisory Reporting – what are the key reports required?
- Interaction with the regulator through SREPs and s166 reviews. Observations from an ex-PRA supervisor.
- Pillar 3 – illustrating what a Pillar 3 statement looks like through a worked example
* Please note that the programme sequence and/or subject matter may differ from what is presented herein; the programme is constantly being updated to embrace new ideas and developments – as they evolve.
Oivind is a chartered accountant with over 11 years’ financial services experience, seven of which were spent within the regulatory capital team in a global corporate and investment bank. Oivind has broad experience of prudential regulation including capital adequacy calculations, COREP reporting and policy considerations for all risk types, including credit risk, market risk, operational risk and large exposures. He has worked with a diverse client portfolio, including large and complex investment banks, small international banks and UK challenger banks. He has led several Skilled Person assignments with focus on Pillar1/Pillar 2 calculations, ICAAPs/ILAAPs, risk management and regulatory reporting. Most recently, Oivind has advised newly authorised challenger banks, assisting them obtain their banking licence.
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