Basel floors must be below 75% to preserve models, banks say

Regulators plan to floor modelled capital at a percentage of standardised approaches

BIS headquarters, home of the Basel Committee

Banks will stop modelling their regulatory capital requirements if they generate less than a one-quarter saving on the standardised alternatives, risk managers predict – a response to the Basel Committee on Banking Supervision's plans to floor modelled capital at some percentage of the standardised formulas for credit, market and operational risk.

Four bank risk managers shared estimates with Risk on where they believe the floor will be set. Although suggestions began as low as 10%, they all

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 or view our subscription options here:

You are currently unable to copy this content. Please contact 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 View our subscription options

If you already have an account, please sign in here.


Want to know what’s included in our free registration? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a 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