Summary

The January deadline stipulated by the Basel Committee on Banking Supervision for adoption of the Fundamental Review of the Trading Book (FRTB) guidelines has passed.

Regulators adopting the framework will soon begin examining capital adequacy provisions at the desk level rather than at a mere institutional level.

Yet, implementation of the norms continues to pose a challenge for banks. The path to executing the internal model approach is especially complex.

There is, thus, an urgent need for banks and financial institution operating globally to be prepared to ensure seamless implementation.

In this milieu, Crisil Global Research and Risk Solutions and Professional Risk Managers' International Association hosted a webinar titled ‘Stay Current! | FRTB Emerging Trends and Challenges’.

At the event, leading industry practitioners shared their insights on: 

• Divergent timelines, inconsistencies in adoption, and their impact across jurisdictions
• FRTB SA as a minimum for the output floor and potentially as a fallback for IMA firms
• Securing quality market and reference data, and robust control infrastructure around it
• Challenges around IMA modelling and analytics