The Basel Accord: A tough nut to crack

Crafting a capital charge for operational risk has proven to be a project fraught with controversy. International regulators’ first attempt raised the industry’s hackles. David Keefe reports on recent – and further expected – compromises by the Basel committee.

Global banking supervisors are finding operational risk a tough nut to crack in their controversial efforts to bring it firmly within the remit of bank capital-adequacy rules. Bankers await the supervisors’ further thoughts, expected in the middle of this year, on plans to make major banks set aside capital for the first time to guard against the risk of loss from operational hazards such as fraud, computer system failure, trade settlement errors and catastrophes like the September 11

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here