A new dawn for disclosure

The implementation of Basel II's Pillar III across the globe is providing new insight into how banks have structured their operational risk frameworks and how much capital they are holding for op risk. David Benyon analyses op risk capital and frameworks across the top 100 Tier I banks

Although many banks have not fully implemented Basel II just yet, OR&C magazine has taken a first crack at analysing operational risk capital at the top 100 banks ranked by Tier I capital globally.

At the moment, Basel II is the only yardstick by which the op risk management of the biggest banks across the globe can be measured, compared or contrasted. According to Pillar III, banks must disclose their capital held for credit, market and operational risk distinctly on their annual reports