Basel op risk plans 'not fit for purpose', say banks

SMA expected to raise capital charges, but lower standards in risk management

litter bin
Trashed: Basel Committee proposals to bin AMA panned by industry

Operational risk practitioners have expressed bitter disappointment with the Basel Committee on Banking Supervision's plans to remove op risk modelling from minimum bank capital rules, which were revealed on March 7.

In a long-awaited consultation, the committee proposed a new way of quantifying op risk capital, dubbed the standardised measurement approach (SMA). The method would replace all existing approaches to op risk capital, including the simpler standardised approaches and the advanced m

To continue reading...

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 indvidual account here: