SlideShare une entreprise Scribd logo
1  sur  10
Télécharger pour lire hors ligne
Considerations for an Effective
Internal Model Method
Implementation
January 2017
Internal Model Method Overview
Given high capital requirements and a need for higher reserves under Basel III’s standardized method, banks are
considering a move to an Internal Model Method (IMM) which allows them to utilize a more risk-sensitive approach
to measure their capital requirements for Counterparty Credit Risk (CCR) scenarios.
IMM benefits
• Banks’ are able to leverage institution-specific scenarios and data that is customized to their trading activity.
Requirements to use IMM
• Obtain regulatory approval by having in place a: rigorous IMM change, governance, and management program that
mandates significant transformation to bank processes/policies, pricing models, and technology across the organization.
• A capable risk analytics engine and reporting solution, as well as demonstrating that appropriate governance is in place.
• Documentation and transparency into the solution design and implementation progress.
Accenture’s approach to IMM approval
• Accenture’s Risk & Finance practice has developed an approach based upon seven key considerations for developing,
managing, and monitoring a robust and effective IMM program to help banks understand the impacts of driving an IMM
implementation:
1) Define materiality
2) Set progress metrics
3) Implement robust control framework
4) Seek efficiencies across regulatory initiatives
and bank capabilities
5) Conduct thorough and transparent self-assessments
6) Articulate a coherent target operating model with
stakeholder buy-In
7) Establish an effective regulatory communication
strategy
Copyright © 2017 Accenture All rights reserved.
1. Define Materiality
• The definition of “materiality” should provide an objective lens by which to evaluate program progress. For IMM,
exposure coverage and effective modeling (valuation and simulation) are critical components of the implementation.
o Coverage could be defined as a percentage of positive mark-to-market, which would provide the purest view into
absolute exposure coverage.
o Alternatively, a bank may choose to measure “materiality” as a percentage of total eligible trades or percentage of
total risk-weighted assets, both of which provide a nuanced variation on population coverage.
• The former focuses on trade count as an indicator while the latter focuses on impacts to the bottom-line risk-weighted
assets universe. It may be the case that more than one materiality threshold should be established, if the actual
coverage differs widely between measures.
• It is recommended that bank management consider “materiality” from multiple angles. We recommend defining a suite
of metrics and thresholds that provide the most comprehensive and objective assessment of progress.
Large scale regulatory-driven transformation projects require a clear definition of the desired end-state that should
be articulated from the top-down. A bank is expected to evidence material progress in implementing the internal
model’s methodology prior to receiving regulatory approval for the use of IMM.
How to articulate progress
• The regulatory requirement for evidencing “material progress” allows for management to articulate a plan that is tailored
to the bank’s portfolio and systems construct. A bank should interpret these requirements as they relate to its own
portfolio and existing infrastructure.
• “Material” implementation progress should strike a pragmatic balance between full regulatory compliance and feasibility
given resource constraints.
• Within interim phases of IMM implementation, it may not be possible to onboard all exposures across all asset classes.
Therefore, the bank should set a reasonable threshold for exposure and product coverage to match the spirit of the
regulatory requirements, while providing margin for improvement during future phases of work.
• The threshold for “materiality” should be at a level that demonstrates significant progress towards full compliance with
regulations and asset class coverage.
How to measure materiality
Copyright © 2017 Accenture All rights reserved.
2. Set Progress Metrics
• It is our assertion that both front-to-back and composite metrics should be utilized for program tracking. These are
complimentary views, each providing unique views and yielding different benefits for program management.
Qualitative reporting often results in a subjective and overly-optimistic portrayal of progress. To combat biased
reporting, quantitative metrics should be established and should be agreed upon at program inception, with buy-in
from program sponsors.
Progress metrics
• Quantitative metrics remove the bias from progress reporting and provide a framework for reoccurring assessment.
• Progress tracking within an IMM program requires tracking across multiple stages of the IMM process, including:
1. Data sourcing, onboarding and reconciliation
2. Pricing, simulation and valuation modeling
3. Collateral and netting set aggregation
Framework options
Option 1
“Matrix”
Option 2
“Composite”
• One option is to construct a matrix tracking progress across all stages of the process chain using
a consistent delineation of the exposure population (e.g. asset class, product type) across
measurements.
• This front-to-back dashboard would allow program management to quickly triangulate sources of
bottlenecks within the implementation work, providing for rapid remediation.
• This construct is an intuitive tool for effectively communicating progress to external stakeholders.
• An alternative approach for constructing progress metrics is to use a consistent measurement
approach across all work streams in the program in order to roll-up to a composite metric for the
program as a whole.
• A straightforward representation of progress, such as “percentage complete” against work stream
milestones or deliverables, can easily be supported by tracking within detailed project plans.
• This holistic measurement approach allows the bank to forecast IMM completion throughout the
remaining program horizon and benchmark actual progress against the planned trajectory.
Copyright © 2017 Accenture All rights reserved.
3. Implement Robust Control Framework
IMM requires multiple data inputs, including market data, trade data, counterparty and reference data, and collateral
information. It is important to demonstrate to regulators that the inputs used within the IMM model are high quality,
comprehensive data sets that are consistent with inputs to other related models and reported figures.
Golden Sourcing and Reconciliation Data Controls
• Where possible, the IMM model should source
data directly from golden sources subject to robust
data governance practices.
• If the current infrastructure does not permit direct
golden sourcing, reconciliations ought to be
developed to deliver consistency
• Reconciliations should be performed routinely and
automated with minimal manual intervention.
• Data controls are required in order to maintain data
quality throughout the IMM process.
• Controls should be constructed that certify inputs as
“fit for use” prior to processing and confirm outputs
as “effectively modeled.”
• The controls system should be accompanied by
robust break management tools and well-
documented remediation processes.
Adjustments Data Governance
• Data should be adjusted prior to official month-end
reporting.
• Adjustments should be performed in a controlled
manner and executed as far upstream as possible.
• Month-end IMM runs should be inclusive of
adjustments in order to align to official reporting
and bank ledgers.
• Clearly documented data and systems architectures
should be utilized in order to provide transparency
into the reconciliations, controls and adjustments
that occur within the IMM process chain.
Copyright © 2017 Accenture All rights reserved.
4. Seek Efficiencies Across Regulatory Initiatives and Bank
Capabilities
Your IMM solution design should take into account all ongoing regulatory and business initiatives in order to
improve resource utilization and benefits captured. Exploiting synergies across bank initiatives can help yield
significant time and cost savings if identified during the IMM program’s initial planning phase.
Related bank programs
• Some of the regulations that are related and relevant to IMM include Standardized Approach for measuring counterparty
credit risk (SA-CCR), Volcker Rule, Uncleared Margin requirements, Basel Committee on Banking Supervision’s regulation
239 (BCBS 239), Office of the Comptroller of the Currency (OCC) Guidelines for Heightened Standards, Basel Coordination
Committee (BCC) 15-1, BCC 13-5, Comprehensive Capital Analysis and Review (CCAR), and the Fundamental Review of
Trading Book (FRTB). These regulations center around similar themes for IMM such as standardized approaches for
measuring CCR exposures, frameworks for margin requirement standards, Risk Data Aggregation principles and
governance, Model Risk Management principles and capital analysis and review processes.
• A comprehensive review of all regulations should be performed to identify these intersection points. In addition, regulatory
impacts and bank programs should be tracked and monitored to avoid duplication of efforts and to improve synchronization
across work efforts and proposed target solutions.
Active engagement across programs
• Senior management
o Program sponsors and executive leadership play a critical role in identifying overlapping program needs and
opportunities to invest in strategic platforms that can greatly reduce the potential for redundant builds.
o A delegate should be assigned to participate in periodic tangential program updates to understand the progress,
risks and issues experienced by other bank alliances.
o Executive stakeholders should also be vigilant with respect to future initiatives in the pipeline, emerging regulatory
trends and evolving risk management and advanced modeling preferred practices.
• IMM program participants
o All program participants should also be encouraged to consider opportunities to leverage or build strategic solutions
that are adaptive to multiple current and future requirements across bank functions (e.g. risk management, credit
management and treasury).
o In order for all participants to serve as bank stewards, a culture of operational efficiency, risk management and
innovation should be promoted by the bank’s leadership.
Copyright © 2017 Accenture All rights reserved.
5. Conduct Thorough and Transparent Self-Assessments
Conducting a self-assessment that is thorough and transparent with a well structured approach is critical to
complying with IMM regulations and assessing a banks’ current state and gaps towards IMM approval.
Points to consider in an effective self-assessment
• Self-assessment process and design structured to encompass all aspects of the regulation, bank functions and
processes.
• Conducted from an objective standpoint (i.e. third party) while taking input from the bank’s subject matter specialists
(SMSs).
• Template where data is collected and displayed should include: summary views for leadership review, the ability to have
progress metrics on gap identification and closure, bank’s interpretation and adherence to the regulation.
• Periodic self-assessments during the path towards finalizing the IMM waiver (at the start of the project, during more
mature phases and right before the exam to demonstrate preparedness).
• Bank SMSs continuously engaged with roles and responsibilities clearly defined.
• Document rationale for exclusions/inclusions in IMM that deviate from the regulation, appropriate business touchpoints
and “sign-off” and decisions/outcomes.
Benefits
• Helps the bank to evaluate conformance to a broad spectrum of IMM-related regulatory requirements with a clear
mapping to regulations and their requirements.
• Provides insight into IMM readiness across all processes, data, systems, models and technology.
• Informs the bank of its weaknesses and strengths accurately, with gaps and accompanied severity and impacts
identified.
• Provides transparency and common taxonomy regarding the bank’s progress towards IMM compliance and any
outstanding gaps requiring management focus.
• Allows the bank to identify the right set of capability groups around which to structure the overall IMM program.
Copyright © 2017 Accenture All rights reserved.
6. Articulate a Coherent Target Operating Model with
Stakeholder Buy-In
In order to demonstrate a linkage between the regulatory requirements and how the bank expects to deliver on those
requirements, the bank should build a target operating model with stakeholder buy-in.
Points to consider in an effective target operating model
• Construct a comprehensive operating framework that outlines the areas or capabilities involved in the IMM
process.
• Develop and provide the framework for the bank to be operational in business as usual (BAU) and satisfy IMM
requirements.
• Align the regulatory requirements to bank-defined performance criteria and thresholds.
• Outline, in a requirement format with accompanying performance criteria and thresholds, what is currently being
done and changes to processes, systems, policies and procedures.
• The guiding principles of the target operating model framework should be clearly communicated across all work
streams to articulate how the framework relates to each workstream.
• Structure the purpose of the framework with a matrix outlining people, process, technology, models and data.
• Define and visualize key processes, process flows and controls.
• Address the concept of data quality across trade, reference and market data with a data lineage component to
address data population completeness and accuracy.
• Evidence of control points should be collected and kept within a central repository for audit traceability.
• A technical-architectural diagram should be developed to provide a visual representation of the target platform.
Benefits
• Allows the bank to evidence a sound IMM infrastructure and processes.
• Allows the bank to demonstrate compliance to both the regulators and internal audit.
• The performance and corresponding acceptable criteria can be used by the testing group to write use cases for
new enhancements.
Copyright © 2017 Accenture All rights reserved.
7. Establish an Effective Regulatory Communication Strategy
Touchpoints with regulators, the Federal Reserve and the OCC, are critical for pro-actively responding to regulatory
requirements, addressing open questions and managing overall expectations leading up to regulatory exams.
Points to consider in an effective regulatory communication strategy
• Regulatory communication strategy should be global and broad in the set of regulators it covers.
• Bank should be prepared to cover all pertinent regulatory themes and provide the appropriate level of detail to satisfy
inquiries.
• Regulatory communication should be standardized and documented to maintain an audit trail that can be recalled
as needed.
• Timelines should be fully documented with dates and topics covered to have a clear picture on how these will evolve
over time.
• All documents should be reviewed and vetted before they are sent to regulators and discussed.
• Develop a plan outlining stages for the communication, topics and expectation for the touchpoints.
• Communication leads should review information to be delivered and be prepared to anticipate questions and topics
that might be posed.
• Dedicated project management office (PMO) function to centrally manage regulatory requirements, exam dates and
deadlines.
• Establish roles and responsibilities and communication frequency for program leads.
• Determine “fit” given personalities of key stakeholders that interact and connect better with the regulators, and
leverage these relationships especially for informal communication.
• Understand what has been previously communicated and establish a baseline of information.
Benefits
• Allows the bank to deliver a robust IMM program.
• Allows the bank to appropriately demonstrate a transparent, controlled and comprehensive technology platform and
operating model when seeking regulatory approval.
Copyright © 2017 Accenture All rights reserved.
Considerations for an Effective
Internal Model Method Implementation
10
Copyright © 2017 Accenture All rights reserved.
Disclaimer
This presentation is intended for general informational purposes only and does not take into
account the reader’s specific circumstances, and may not reflect the most current
developments. Accenture disclaims, to the fullest extent permitted by applicable law, any
and all liability for the accuracy and completeness of the information in this presentation
and for any acts or omissions made based on such information. Accenture does not
provide legal, regulatory, audit, or tax advice. Readers are responsible for obtaining such
advice from their own legal counsel or other licensed professionals.
About Accenture
Accenture is a leading global professional services company, providing a broad range of
services and solutions in strategy, consulting, digital, technology and operations.
Combining unmatched experience and specialized skills across more than 40 industries
and all business functions—underpinned by the world’s largest delivery network—
Accenture works at the intersection of business and technology to help clients improve their
performance and create sustainable value for their stakeholders. With more than 394,000
people serving clients in more than 120 countries, Accenture drives innovation to improve
the way the world works and lives. Visit us at www.accenture.com

Contenu connexe

Tendances

Cyber Security: Take a Security Leap Forward
Cyber Security: Take a Security Leap ForwardCyber Security: Take a Security Leap Forward
Cyber Security: Take a Security Leap Forwardaccenture
 
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gate
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gateSurviving the “Big Crunch” with insight-enabled decisions inside the plant gate
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gateaccenture
 
Structural Reform for Improved Financial Performance and Innovation
Structural Reform for Improved Financial Performance and InnovationStructural Reform for Improved Financial Performance and Innovation
Structural Reform for Improved Financial Performance and Innovationaccenture
 
Being digital: Embracing the future of work
Being digital: Embracing the future of workBeing digital: Embracing the future of work
Being digital: Embracing the future of workaccenture
 
100 day plan - Technology Vision Australian Perspective
100 day plan - Technology Vision Australian Perspective100 day plan - Technology Vision Australian Perspective
100 day plan - Technology Vision Australian Perspectiveaccenture
 
Thriving on Disruption
Thriving on Disruption Thriving on Disruption
Thriving on Disruption accenture
 
Technology Vision 2016 – Overview
Technology Vision 2016 – OverviewTechnology Vision 2016 – Overview
Technology Vision 2016 – Overviewaccenture
 
Intelligent Infrastructures: Unlocking the Digital Business
Intelligent Infrastructures: Unlocking the Digital BusinessIntelligent Infrastructures: Unlocking the Digital Business
Intelligent Infrastructures: Unlocking the Digital Businessaccenture
 
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...Accenture 2015 Global Risk Management Study: North American Banking Report Ke...
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...accenture
 
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10accenture
 
High Performance BPO: The Value Multiplier Effect
High Performance BPO: The Value Multiplier EffectHigh Performance BPO: The Value Multiplier Effect
High Performance BPO: The Value Multiplier Effectaccenture
 
Third-Party Risk Management at Accenture
Third-Party Risk Management at AccentureThird-Party Risk Management at Accenture
Third-Party Risk Management at Accentureaccenture
 
Push to Pull: From Supply Chains to Patient-Centric Value Networks
Push to Pull: From Supply Chains  to Patient-Centric Value NetworksPush to Pull: From Supply Chains  to Patient-Centric Value Networks
Push to Pull: From Supply Chains to Patient-Centric Value Networksaccenture
 
How Industrial Equipment Companies are Mining Fuel for Growth
How Industrial Equipment Companies are Mining Fuel for GrowthHow Industrial Equipment Companies are Mining Fuel for Growth
How Industrial Equipment Companies are Mining Fuel for Growthaccenture
 
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2accenture
 
Use Application Portfolio Optimization to accelerate IT value
Use Application Portfolio Optimization to accelerate IT valueUse Application Portfolio Optimization to accelerate IT value
Use Application Portfolio Optimization to accelerate IT valueaccenture
 
Fundamental Review of the Trading Book (FRTB) – Data Challenges
Fundamental Review of the Trading Book (FRTB) – Data ChallengesFundamental Review of the Trading Book (FRTB) – Data Challenges
Fundamental Review of the Trading Book (FRTB) – Data Challengesaccenture
 
Unleashing Innovation: A Closer Look at Impacts & Benefits
Unleashing Innovation: A Closer Look at Impacts & BenefitsUnleashing Innovation: A Closer Look at Impacts & Benefits
Unleashing Innovation: A Closer Look at Impacts & Benefitsaccenture
 
Converting Cost to Growth -- Strategic Cost Reduction in Banking
Converting Cost to Growth -- Strategic Cost Reduction in BankingConverting Cost to Growth -- Strategic Cost Reduction in Banking
Converting Cost to Growth -- Strategic Cost Reduction in Bankingaccenture
 
Injecting Intelligence Into Health Care
Injecting Intelligence Into Health CareInjecting Intelligence Into Health Care
Injecting Intelligence Into Health Careaccenture
 

Tendances (20)

Cyber Security: Take a Security Leap Forward
Cyber Security: Take a Security Leap ForwardCyber Security: Take a Security Leap Forward
Cyber Security: Take a Security Leap Forward
 
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gate
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gateSurviving the “Big Crunch” with insight-enabled decisions inside the plant gate
Surviving the “Big Crunch” with insight-enabled decisions inside the plant gate
 
Structural Reform for Improved Financial Performance and Innovation
Structural Reform for Improved Financial Performance and InnovationStructural Reform for Improved Financial Performance and Innovation
Structural Reform for Improved Financial Performance and Innovation
 
Being digital: Embracing the future of work
Being digital: Embracing the future of workBeing digital: Embracing the future of work
Being digital: Embracing the future of work
 
100 day plan - Technology Vision Australian Perspective
100 day plan - Technology Vision Australian Perspective100 day plan - Technology Vision Australian Perspective
100 day plan - Technology Vision Australian Perspective
 
Thriving on Disruption
Thriving on Disruption Thriving on Disruption
Thriving on Disruption
 
Technology Vision 2016 – Overview
Technology Vision 2016 – OverviewTechnology Vision 2016 – Overview
Technology Vision 2016 – Overview
 
Intelligent Infrastructures: Unlocking the Digital Business
Intelligent Infrastructures: Unlocking the Digital BusinessIntelligent Infrastructures: Unlocking the Digital Business
Intelligent Infrastructures: Unlocking the Digital Business
 
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...Accenture 2015 Global Risk Management Study: North American Banking Report Ke...
Accenture 2015 Global Risk Management Study: North American Banking Report Ke...
 
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10
Top Ten Challenges for Investment Banks 2015: Revolution: Challenge 10
 
High Performance BPO: The Value Multiplier Effect
High Performance BPO: The Value Multiplier EffectHigh Performance BPO: The Value Multiplier Effect
High Performance BPO: The Value Multiplier Effect
 
Third-Party Risk Management at Accenture
Third-Party Risk Management at AccentureThird-Party Risk Management at Accenture
Third-Party Risk Management at Accenture
 
Push to Pull: From Supply Chains to Patient-Centric Value Networks
Push to Pull: From Supply Chains  to Patient-Centric Value NetworksPush to Pull: From Supply Chains  to Patient-Centric Value Networks
Push to Pull: From Supply Chains to Patient-Centric Value Networks
 
How Industrial Equipment Companies are Mining Fuel for Growth
How Industrial Equipment Companies are Mining Fuel for GrowthHow Industrial Equipment Companies are Mining Fuel for Growth
How Industrial Equipment Companies are Mining Fuel for Growth
 
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2
Top Ten Challenges for Investment Banks 2015: Regulation: Challenge 2
 
Use Application Portfolio Optimization to accelerate IT value
Use Application Portfolio Optimization to accelerate IT valueUse Application Portfolio Optimization to accelerate IT value
Use Application Portfolio Optimization to accelerate IT value
 
Fundamental Review of the Trading Book (FRTB) – Data Challenges
Fundamental Review of the Trading Book (FRTB) – Data ChallengesFundamental Review of the Trading Book (FRTB) – Data Challenges
Fundamental Review of the Trading Book (FRTB) – Data Challenges
 
Unleashing Innovation: A Closer Look at Impacts & Benefits
Unleashing Innovation: A Closer Look at Impacts & BenefitsUnleashing Innovation: A Closer Look at Impacts & Benefits
Unleashing Innovation: A Closer Look at Impacts & Benefits
 
Converting Cost to Growth -- Strategic Cost Reduction in Banking
Converting Cost to Growth -- Strategic Cost Reduction in BankingConverting Cost to Growth -- Strategic Cost Reduction in Banking
Converting Cost to Growth -- Strategic Cost Reduction in Banking
 
Injecting Intelligence Into Health Care
Injecting Intelligence Into Health CareInjecting Intelligence Into Health Care
Injecting Intelligence Into Health Care
 

En vedette

Regulatory Reporting Dashboard
Regulatory Reporting DashboardRegulatory Reporting Dashboard
Regulatory Reporting Dashboardaccenture
 
Finance Reporting Offering
Finance Reporting OfferingFinance Reporting Offering
Finance Reporting Offeringaccenture
 
Cross-selling in the New Era: A Win-win for Banks and Customers
Cross-selling in the New Era: A Win-win for Banks and CustomersCross-selling in the New Era: A Win-win for Banks and Customers
Cross-selling in the New Era: A Win-win for Banks and Customersaccenture
 
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trustaccenture
 
Fundamental Review of the Trading Book - What is FRTB and why start now?
Fundamental Review of the Trading Book - What is FRTB and why start now?Fundamental Review of the Trading Book - What is FRTB and why start now?
Fundamental Review of the Trading Book - What is FRTB and why start now?Morten Weis
 
Open Innovation: Smart Solutions for R&D Pipelines
Open Innovation: Smart Solutions for R&D PipelinesOpen Innovation: Smart Solutions for R&D Pipelines
Open Innovation: Smart Solutions for R&D Pipelinesaccenture
 
Video is Changing the World
Video is Changing the WorldVideo is Changing the World
Video is Changing the Worldaccenture
 
Chemicals: Smarter Investments, Outstanding Results
Chemicals: Smarter Investments, Outstanding ResultsChemicals: Smarter Investments, Outstanding Results
Chemicals: Smarter Investments, Outstanding Resultsaccenture
 
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely accenture
 
Regulatory Compliance: Automated Digital Assistant
Regulatory Compliance: Automated Digital AssistantRegulatory Compliance: Automated Digital Assistant
Regulatory Compliance: Automated Digital Assistantaccenture
 
Corrosion Management
Corrosion ManagementCorrosion Management
Corrosion Managementaccenture
 
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...accenture
 
The Era of Living Services: RILA 2017 Leadership Forum
The Era of Living Services: RILA 2017 Leadership ForumThe Era of Living Services: RILA 2017 Leadership Forum
The Era of Living Services: RILA 2017 Leadership Forumaccenture
 
Harnessing Revolution: Creating The Future Workforce
Harnessing Revolution: Creating The Future WorkforceHarnessing Revolution: Creating The Future Workforce
Harnessing Revolution: Creating The Future Workforceaccenture
 
FRTB Overview & Implementation Notes
FRTB Overview & Implementation NotesFRTB Overview & Implementation Notes
FRTB Overview & Implementation NotesSteve Hicks, FRM
 
Accenture High Performance Security Report 2016 For Communications
Accenture High Performance  Security Report 2016 For CommunicationsAccenture High Performance  Security Report 2016 For Communications
Accenture High Performance Security Report 2016 For Communicationsaccenture
 
Fundamental Review of the Trading Book
Fundamental Review of the Trading BookFundamental Review of the Trading Book
Fundamental Review of the Trading Bookaccenture
 
How Blockchain can bring Greater Value to Procure to Pay Processes
How Blockchain can bring Greater Value to Procure to Pay ProcessesHow Blockchain can bring Greater Value to Procure to Pay Processes
How Blockchain can bring Greater Value to Procure to Pay Processesaccenture
 
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...Smarter Investments, Outstanding Results: Resources Industries Digital Transf...
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...accenture
 

En vedette (20)

Regulatory Reporting Dashboard
Regulatory Reporting DashboardRegulatory Reporting Dashboard
Regulatory Reporting Dashboard
 
Finance Reporting Offering
Finance Reporting OfferingFinance Reporting Offering
Finance Reporting Offering
 
Cross-selling in the New Era: A Win-win for Banks and Customers
Cross-selling in the New Era: A Win-win for Banks and CustomersCross-selling in the New Era: A Win-win for Banks and Customers
Cross-selling in the New Era: A Win-win for Banks and Customers
 
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust
2017 Consumer Survey: Healthcare Cybersecurity and Digital Trust
 
Fundamental Review of the Trading Book - What is FRTB and why start now?
Fundamental Review of the Trading Book - What is FRTB and why start now?Fundamental Review of the Trading Book - What is FRTB and why start now?
Fundamental Review of the Trading Book - What is FRTB and why start now?
 
Open Innovation: Smart Solutions for R&D Pipelines
Open Innovation: Smart Solutions for R&D PipelinesOpen Innovation: Smart Solutions for R&D Pipelines
Open Innovation: Smart Solutions for R&D Pipelines
 
Video is Changing the World
Video is Changing the WorldVideo is Changing the World
Video is Changing the World
 
Chemicals: Smarter Investments, Outstanding Results
Chemicals: Smarter Investments, Outstanding ResultsChemicals: Smarter Investments, Outstanding Results
Chemicals: Smarter Investments, Outstanding Results
 
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely
Seeing beyond the Loyalty Illusion: It’s Time You Invest More Wisely
 
Regulatory Compliance: Automated Digital Assistant
Regulatory Compliance: Automated Digital AssistantRegulatory Compliance: Automated Digital Assistant
Regulatory Compliance: Automated Digital Assistant
 
Corrosion Management
Corrosion ManagementCorrosion Management
Corrosion Management
 
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...
Design in Business: It’s Not About Creating Something Pretty. It’s About Crea...
 
The Era of Living Services: RILA 2017 Leadership Forum
The Era of Living Services: RILA 2017 Leadership ForumThe Era of Living Services: RILA 2017 Leadership Forum
The Era of Living Services: RILA 2017 Leadership Forum
 
Harnessing Revolution: Creating The Future Workforce
Harnessing Revolution: Creating The Future WorkforceHarnessing Revolution: Creating The Future Workforce
Harnessing Revolution: Creating The Future Workforce
 
Technology Vision 2017 - Overview
Technology Vision 2017 - OverviewTechnology Vision 2017 - Overview
Technology Vision 2017 - Overview
 
FRTB Overview & Implementation Notes
FRTB Overview & Implementation NotesFRTB Overview & Implementation Notes
FRTB Overview & Implementation Notes
 
Accenture High Performance Security Report 2016 For Communications
Accenture High Performance  Security Report 2016 For CommunicationsAccenture High Performance  Security Report 2016 For Communications
Accenture High Performance Security Report 2016 For Communications
 
Fundamental Review of the Trading Book
Fundamental Review of the Trading BookFundamental Review of the Trading Book
Fundamental Review of the Trading Book
 
How Blockchain can bring Greater Value to Procure to Pay Processes
How Blockchain can bring Greater Value to Procure to Pay ProcessesHow Blockchain can bring Greater Value to Procure to Pay Processes
How Blockchain can bring Greater Value to Procure to Pay Processes
 
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...Smarter Investments, Outstanding Results: Resources Industries Digital Transf...
Smarter Investments, Outstanding Results: Resources Industries Digital Transf...
 

Similaire à Considerations for an Effective Internal Model Method Implementation

Whitepaper-Minimising Customer Impact on Bank Mergers
Whitepaper-Minimising Customer Impact on Bank MergersWhitepaper-Minimising Customer Impact on Bank Mergers
Whitepaper-Minimising Customer Impact on Bank MergersSinjo Alex
 
CRIF IFRS9 Solution- Not just for your CFO
CRIF IFRS9 Solution- Not just for your CFOCRIF IFRS9 Solution- Not just for your CFO
CRIF IFRS9 Solution- Not just for your CFOLawrence Billson
 
Crafting an End-to-End Pharma GRC Strategy
Crafting an End-to-End Pharma GRC StrategyCrafting an End-to-End Pharma GRC Strategy
Crafting an End-to-End Pharma GRC StrategyCognizant
 
eBook Spreadsheet to WebAPP
eBook Spreadsheet to WebAPPeBook Spreadsheet to WebAPP
eBook Spreadsheet to WebAPPAbhishek Ranjan
 
Core banking transformation_measuring_the_value
Core banking transformation_measuring_the_valueCore banking transformation_measuring_the_value
Core banking transformation_measuring_the_valueNidal Bashaireh
 
dt_mt_SREP_Pub_BCBS239_200216lo
dt_mt_SREP_Pub_BCBS239_200216lodt_mt_SREP_Pub_BCBS239_200216lo
dt_mt_SREP_Pub_BCBS239_200216loMark Micallef
 
Managing your insurance portfolio
Managing your insurance portfolioManaging your insurance portfolio
Managing your insurance portfolioAccenture Insurance
 
FS_StressTestingCapitalPlanning_BR_1213 v1
FS_StressTestingCapitalPlanning_BR_1213 v1FS_StressTestingCapitalPlanning_BR_1213 v1
FS_StressTestingCapitalPlanning_BR_1213 v1Sudip Chatterjee
 
IIM_GlobalBankBrokerDealerAcquisition_CS_1216
IIM_GlobalBankBrokerDealerAcquisition_CS_1216IIM_GlobalBankBrokerDealerAcquisition_CS_1216
IIM_GlobalBankBrokerDealerAcquisition_CS_1216Alison Rooney
 
Back-office Transformation of a Global Investment Bank
Back-office Transformation of a Global Investment BankBack-office Transformation of a Global Investment Bank
Back-office Transformation of a Global Investment BankCognizant
 
GP for Regulatory Management Product Sheet
GP for Regulatory Management Product SheetGP for Regulatory Management Product Sheet
GP for Regulatory Management Product SheetMarco Villacorta Olano
 
Integrated Performance Management Scorecard
Integrated Performance Management ScorecardIntegrated Performance Management Scorecard
Integrated Performance Management ScorecardSaravanan Veeraiyan
 

Similaire à Considerations for an Effective Internal Model Method Implementation (20)

Whitepaper-Minimising Customer Impact on Bank Mergers
Whitepaper-Minimising Customer Impact on Bank MergersWhitepaper-Minimising Customer Impact on Bank Mergers
Whitepaper-Minimising Customer Impact on Bank Mergers
 
CRIF IFRS9 Solution- Not just for your CFO
CRIF IFRS9 Solution- Not just for your CFOCRIF IFRS9 Solution- Not just for your CFO
CRIF IFRS9 Solution- Not just for your CFO
 
October_FP&A-Foresights
October_FP&A-ForesightsOctober_FP&A-Foresights
October_FP&A-Foresights
 
Pm chapter 6...
Pm chapter 6...Pm chapter 6...
Pm chapter 6...
 
LRAFB_Project Profile
LRAFB_Project ProfileLRAFB_Project Profile
LRAFB_Project Profile
 
Risk management is changing_Final LR
Risk management is changing_Final LRRisk management is changing_Final LR
Risk management is changing_Final LR
 
Pm chapter 6
Pm chapter 6Pm chapter 6
Pm chapter 6
 
Pm chapter 6
Pm chapter 6Pm chapter 6
Pm chapter 6
 
Crafting an End-to-End Pharma GRC Strategy
Crafting an End-to-End Pharma GRC StrategyCrafting an End-to-End Pharma GRC Strategy
Crafting an End-to-End Pharma GRC Strategy
 
eBook Spreadsheet to WebAPP
eBook Spreadsheet to WebAPPeBook Spreadsheet to WebAPP
eBook Spreadsheet to WebAPP
 
Core banking transformation_measuring_the_value
Core banking transformation_measuring_the_valueCore banking transformation_measuring_the_value
Core banking transformation_measuring_the_value
 
ALLL FZL and TD
ALLL FZL and TDALLL FZL and TD
ALLL FZL and TD
 
dt_mt_SREP_Pub_BCBS239_200216lo
dt_mt_SREP_Pub_BCBS239_200216lodt_mt_SREP_Pub_BCBS239_200216lo
dt_mt_SREP_Pub_BCBS239_200216lo
 
Managing your insurance portfolio
Managing your insurance portfolioManaging your insurance portfolio
Managing your insurance portfolio
 
FS_StressTestingCapitalPlanning_BR_1213 v1
FS_StressTestingCapitalPlanning_BR_1213 v1FS_StressTestingCapitalPlanning_BR_1213 v1
FS_StressTestingCapitalPlanning_BR_1213 v1
 
IIM_GlobalBankBrokerDealerAcquisition_CS_1216
IIM_GlobalBankBrokerDealerAcquisition_CS_1216IIM_GlobalBankBrokerDealerAcquisition_CS_1216
IIM_GlobalBankBrokerDealerAcquisition_CS_1216
 
Back-office Transformation of a Global Investment Bank
Back-office Transformation of a Global Investment BankBack-office Transformation of a Global Investment Bank
Back-office Transformation of a Global Investment Bank
 
GP for Regulatory Management Product Sheet
GP for Regulatory Management Product SheetGP for Regulatory Management Product Sheet
GP for Regulatory Management Product Sheet
 
Integrated Performance Management Scorecard
Integrated Performance Management ScorecardIntegrated Performance Management Scorecard
Integrated Performance Management Scorecard
 
BCBS 239 risk data aggregation reporting_Feb15_PRINT
BCBS 239 risk data aggregation reporting_Feb15_PRINTBCBS 239 risk data aggregation reporting_Feb15_PRINT
BCBS 239 risk data aggregation reporting_Feb15_PRINT
 

Plus de accenture

The Industrialist: Trends & Innovations - January 2024
The Industrialist: Trends & Innovations - January 2024The Industrialist: Trends & Innovations - January 2024
The Industrialist: Trends & Innovations - January 2024accenture
 
The Industrialist: Trends & Innovations - September 2023
The Industrialist: Trends & Innovations - September 2023The Industrialist: Trends & Innovations - September 2023
The Industrialist: Trends & Innovations - September 2023accenture
 
Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education accenture
 
The Industrialist: Trends & Innovations - July 2023
The Industrialist: Trends & Innovations - July 2023The Industrialist: Trends & Innovations - July 2023
The Industrialist: Trends & Innovations - July 2023accenture
 
Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education accenture
 
Engineering Services: con gli ingegneri per creare valore sostenibile
Engineering Services: con gli ingegneri per creare valore sostenibileEngineering Services: con gli ingegneri per creare valore sostenibile
Engineering Services: con gli ingegneri per creare valore sostenibileaccenture
 
Digital Euro: Implications for the Financial System
Digital Euro: Implications for the Financial SystemDigital Euro: Implications for the Financial System
Digital Euro: Implications for the Financial Systemaccenture
 
More deals, less money: the Black founder funding journey
More deals, less money: the Black founder funding journeyMore deals, less money: the Black founder funding journey
More deals, less money: the Black founder funding journeyaccenture
 
The Industrialist: Trends & Innovations - June 2023
The Industrialist: Trends & Innovations - June 2023The Industrialist: Trends & Innovations - June 2023
The Industrialist: Trends & Innovations - June 2023accenture
 
Reinventing Enterprise Operations
Reinventing Enterprise OperationsReinventing Enterprise Operations
Reinventing Enterprise Operationsaccenture
 
Semiconductor Gender Parity Study
Semiconductor Gender Parity StudySemiconductor Gender Parity Study
Semiconductor Gender Parity Studyaccenture
 
The Industrialist: Trends & Innovations - March 2023
The Industrialist: Trends & Innovations - March 2023The Industrialist: Trends & Innovations - March 2023
The Industrialist: Trends & Innovations - March 2023accenture
 
Nonprofit reinvention in a time of unprecedented change
 Nonprofit reinvention in a time of unprecedented change Nonprofit reinvention in a time of unprecedented change
Nonprofit reinvention in a time of unprecedented changeaccenture
 
Free to be 100% me
Free to be 100% meFree to be 100% me
Free to be 100% meaccenture
 
The Industrialist: Trends & Innovations - February 2023
The Industrialist: Trends & Innovations - February 2023The Industrialist: Trends & Innovations - February 2023
The Industrialist: Trends & Innovations - February 2023accenture
 
Mundo gamer e a oportunidade de entrada pela abordagem do movimento
Mundo gamer e a oportunidade de entrada pela abordagem do movimentoMundo gamer e a oportunidade de entrada pela abordagem do movimento
Mundo gamer e a oportunidade de entrada pela abordagem do movimentoaccenture
 
Pathways to Profitability for the Communications Industry
Pathways to Profitability for the Communications IndustryPathways to Profitability for the Communications Industry
Pathways to Profitability for the Communications Industryaccenture
 
The Industrialist: Trends & Innovations - January 2023
The Industrialist: Trends & Innovations - January 2023The Industrialist: Trends & Innovations - January 2023
The Industrialist: Trends & Innovations - January 2023accenture
 
Reimagining the Agenda | Accenture
Reimagining the Agenda | AccentureReimagining the Agenda | Accenture
Reimagining the Agenda | Accentureaccenture
 
Climate Leadership Eleventh Hour | Accenture
Climate Leadership Eleventh Hour | AccentureClimate Leadership Eleventh Hour | Accenture
Climate Leadership Eleventh Hour | Accentureaccenture
 

Plus de accenture (20)

The Industrialist: Trends & Innovations - January 2024
The Industrialist: Trends & Innovations - January 2024The Industrialist: Trends & Innovations - January 2024
The Industrialist: Trends & Innovations - January 2024
 
The Industrialist: Trends & Innovations - September 2023
The Industrialist: Trends & Innovations - September 2023The Industrialist: Trends & Innovations - September 2023
The Industrialist: Trends & Innovations - September 2023
 
Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education
 
The Industrialist: Trends & Innovations - July 2023
The Industrialist: Trends & Innovations - July 2023The Industrialist: Trends & Innovations - July 2023
The Industrialist: Trends & Innovations - July 2023
 
Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education Accenture Technology Vision - How the trends apply to higher education
Accenture Technology Vision - How the trends apply to higher education
 
Engineering Services: con gli ingegneri per creare valore sostenibile
Engineering Services: con gli ingegneri per creare valore sostenibileEngineering Services: con gli ingegneri per creare valore sostenibile
Engineering Services: con gli ingegneri per creare valore sostenibile
 
Digital Euro: Implications for the Financial System
Digital Euro: Implications for the Financial SystemDigital Euro: Implications for the Financial System
Digital Euro: Implications for the Financial System
 
More deals, less money: the Black founder funding journey
More deals, less money: the Black founder funding journeyMore deals, less money: the Black founder funding journey
More deals, less money: the Black founder funding journey
 
The Industrialist: Trends & Innovations - June 2023
The Industrialist: Trends & Innovations - June 2023The Industrialist: Trends & Innovations - June 2023
The Industrialist: Trends & Innovations - June 2023
 
Reinventing Enterprise Operations
Reinventing Enterprise OperationsReinventing Enterprise Operations
Reinventing Enterprise Operations
 
Semiconductor Gender Parity Study
Semiconductor Gender Parity StudySemiconductor Gender Parity Study
Semiconductor Gender Parity Study
 
The Industrialist: Trends & Innovations - March 2023
The Industrialist: Trends & Innovations - March 2023The Industrialist: Trends & Innovations - March 2023
The Industrialist: Trends & Innovations - March 2023
 
Nonprofit reinvention in a time of unprecedented change
 Nonprofit reinvention in a time of unprecedented change Nonprofit reinvention in a time of unprecedented change
Nonprofit reinvention in a time of unprecedented change
 
Free to be 100% me
Free to be 100% meFree to be 100% me
Free to be 100% me
 
The Industrialist: Trends & Innovations - February 2023
The Industrialist: Trends & Innovations - February 2023The Industrialist: Trends & Innovations - February 2023
The Industrialist: Trends & Innovations - February 2023
 
Mundo gamer e a oportunidade de entrada pela abordagem do movimento
Mundo gamer e a oportunidade de entrada pela abordagem do movimentoMundo gamer e a oportunidade de entrada pela abordagem do movimento
Mundo gamer e a oportunidade de entrada pela abordagem do movimento
 
Pathways to Profitability for the Communications Industry
Pathways to Profitability for the Communications IndustryPathways to Profitability for the Communications Industry
Pathways to Profitability for the Communications Industry
 
The Industrialist: Trends & Innovations - January 2023
The Industrialist: Trends & Innovations - January 2023The Industrialist: Trends & Innovations - January 2023
The Industrialist: Trends & Innovations - January 2023
 
Reimagining the Agenda | Accenture
Reimagining the Agenda | AccentureReimagining the Agenda | Accenture
Reimagining the Agenda | Accenture
 
Climate Leadership Eleventh Hour | Accenture
Climate Leadership Eleventh Hour | AccentureClimate Leadership Eleventh Hour | Accenture
Climate Leadership Eleventh Hour | Accenture
 

Dernier

Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptxSlideshare - ONS Economic Forum Slidepack - 18 March 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptxOffice for National Statistics
 
Monthly Market Risk Update: March 2024 [SlideShare]
Monthly Market Risk Update: March 2024 [SlideShare]Monthly Market Risk Update: March 2024 [SlideShare]
Monthly Market Risk Update: March 2024 [SlideShare]Commonwealth
 
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoRWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoCoinGecko
 
Stock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfStock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfMichael Silva
 
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.KumarJayaraman3
 
The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?Stephen Perrenod
 
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismTaipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismBrian Lin
 
India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023SkillCircle
 
Hungarys economy made by Robert Miklos
Hungarys economy   made by Robert MiklosHungarys economy   made by Robert Miklos
Hungarys economy made by Robert Miklosbeduinpower135
 
Stock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfStock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfMichael Silva
 
Work and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingWork and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingHenry Tapper
 
Buy and Sell Urban Tots unlisted shares.pptx
Buy and Sell Urban Tots unlisted shares.pptxBuy and Sell Urban Tots unlisted shares.pptx
Buy and Sell Urban Tots unlisted shares.pptxPrecize Formely Leadoff
 
LIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxLIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxsonamyadav7097
 
20240314 Calibre March 2024 Investor Presentation (FINAL).pdf
20240314 Calibre March 2024 Investor Presentation (FINAL).pdf20240314 Calibre March 2024 Investor Presentation (FINAL).pdf
20240314 Calibre March 2024 Investor Presentation (FINAL).pdfAdnet Communications
 
2024.03 Strategic Resources Presentation
2024.03 Strategic Resources Presentation2024.03 Strategic Resources Presentation
2024.03 Strategic Resources PresentationAdnet Communications
 
Solution manual for Intermediate Accounting, 11th Edition by David Spiceland...
Solution manual for  Intermediate Accounting, 11th Edition by David Spiceland...Solution manual for  Intermediate Accounting, 11th Edition by David Spiceland...
Solution manual for Intermediate Accounting, 11th Edition by David Spiceland...mwangimwangi222
 
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESKumarJayaraman3
 
Stock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfStock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfMichael Silva
 

Dernier (20)

Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptxSlideshare - ONS Economic Forum Slidepack - 18 March 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 18 March 2024.pptx
 
Monthly Market Risk Update: March 2024 [SlideShare]
Monthly Market Risk Update: March 2024 [SlideShare]Monthly Market Risk Update: March 2024 [SlideShare]
Monthly Market Risk Update: March 2024 [SlideShare]
 
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGeckoRWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
RWA Report 2024: Rise of Real-World Assets in Crypto | CoinGecko
 
Stock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdfStock Market Brief Deck for March 26.pdf
Stock Market Brief Deck for March 26.pdf
 
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
ACCOUNTING FOR BUSINESS.II DEPARTMENTAL ACCOUNTS.
 
The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?The Power Laws of Bitcoin: How can an S-curve be a power law?
The Power Laws of Bitcoin: How can an S-curve be a power law?
 
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for TourismTaipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
Taipei, A Hidden Jewel in East Asia - PR Strategy for Tourism
 
India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023India Economic Survey Complete for the year of 2022 to 2023
India Economic Survey Complete for the year of 2022 to 2023
 
Hungarys economy made by Robert Miklos
Hungarys economy   made by Robert MiklosHungarys economy   made by Robert Miklos
Hungarys economy made by Robert Miklos
 
Stock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdfStock Market Brief Deck for March 19 2024.pdf
Stock Market Brief Deck for March 19 2024.pdf
 
Work and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB fundingWork and Pensions report into UK corporate DB funding
Work and Pensions report into UK corporate DB funding
 
Buy and Sell Urban Tots unlisted shares.pptx
Buy and Sell Urban Tots unlisted shares.pptxBuy and Sell Urban Tots unlisted shares.pptx
Buy and Sell Urban Tots unlisted shares.pptx
 
LIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptxLIC PRIVATISATION its a bane or boon.pptx
LIC PRIVATISATION its a bane or boon.pptx
 
20240314 Calibre March 2024 Investor Presentation (FINAL).pdf
20240314 Calibre March 2024 Investor Presentation (FINAL).pdf20240314 Calibre March 2024 Investor Presentation (FINAL).pdf
20240314 Calibre March 2024 Investor Presentation (FINAL).pdf
 
2024.03 Strategic Resources Presentation
2024.03 Strategic Resources Presentation2024.03 Strategic Resources Presentation
2024.03 Strategic Resources Presentation
 
Solution manual for Intermediate Accounting, 11th Edition by David Spiceland...
Solution manual for  Intermediate Accounting, 11th Edition by David Spiceland...Solution manual for  Intermediate Accounting, 11th Edition by David Spiceland...
Solution manual for Intermediate Accounting, 11th Edition by David Spiceland...
 
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTESACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
ACCOUNTING FOR BUSINESS.II BRANCH ACCOUNTS NOTES
 
New Monthly Enterprises Survey. Issue 21. (01.2024) Ukrainian Business in War...
New Monthly Enterprises Survey. Issue 21. (01.2024) Ukrainian Business in War...New Monthly Enterprises Survey. Issue 21. (01.2024) Ukrainian Business in War...
New Monthly Enterprises Survey. Issue 21. (01.2024) Ukrainian Business in War...
 
Monthly Economic Monitoring of Ukraine No.230, March 2024
Monthly Economic Monitoring of Ukraine No.230, March 2024Monthly Economic Monitoring of Ukraine No.230, March 2024
Monthly Economic Monitoring of Ukraine No.230, March 2024
 
Stock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdfStock Market Brief Deck for 3/22/2024.pdf
Stock Market Brief Deck for 3/22/2024.pdf
 

Considerations for an Effective Internal Model Method Implementation

  • 1. Considerations for an Effective Internal Model Method Implementation January 2017
  • 2. Internal Model Method Overview Given high capital requirements and a need for higher reserves under Basel III’s standardized method, banks are considering a move to an Internal Model Method (IMM) which allows them to utilize a more risk-sensitive approach to measure their capital requirements for Counterparty Credit Risk (CCR) scenarios. IMM benefits • Banks’ are able to leverage institution-specific scenarios and data that is customized to their trading activity. Requirements to use IMM • Obtain regulatory approval by having in place a: rigorous IMM change, governance, and management program that mandates significant transformation to bank processes/policies, pricing models, and technology across the organization. • A capable risk analytics engine and reporting solution, as well as demonstrating that appropriate governance is in place. • Documentation and transparency into the solution design and implementation progress. Accenture’s approach to IMM approval • Accenture’s Risk & Finance practice has developed an approach based upon seven key considerations for developing, managing, and monitoring a robust and effective IMM program to help banks understand the impacts of driving an IMM implementation: 1) Define materiality 2) Set progress metrics 3) Implement robust control framework 4) Seek efficiencies across regulatory initiatives and bank capabilities 5) Conduct thorough and transparent self-assessments 6) Articulate a coherent target operating model with stakeholder buy-In 7) Establish an effective regulatory communication strategy Copyright © 2017 Accenture All rights reserved.
  • 3. 1. Define Materiality • The definition of “materiality” should provide an objective lens by which to evaluate program progress. For IMM, exposure coverage and effective modeling (valuation and simulation) are critical components of the implementation. o Coverage could be defined as a percentage of positive mark-to-market, which would provide the purest view into absolute exposure coverage. o Alternatively, a bank may choose to measure “materiality” as a percentage of total eligible trades or percentage of total risk-weighted assets, both of which provide a nuanced variation on population coverage. • The former focuses on trade count as an indicator while the latter focuses on impacts to the bottom-line risk-weighted assets universe. It may be the case that more than one materiality threshold should be established, if the actual coverage differs widely between measures. • It is recommended that bank management consider “materiality” from multiple angles. We recommend defining a suite of metrics and thresholds that provide the most comprehensive and objective assessment of progress. Large scale regulatory-driven transformation projects require a clear definition of the desired end-state that should be articulated from the top-down. A bank is expected to evidence material progress in implementing the internal model’s methodology prior to receiving regulatory approval for the use of IMM. How to articulate progress • The regulatory requirement for evidencing “material progress” allows for management to articulate a plan that is tailored to the bank’s portfolio and systems construct. A bank should interpret these requirements as they relate to its own portfolio and existing infrastructure. • “Material” implementation progress should strike a pragmatic balance between full regulatory compliance and feasibility given resource constraints. • Within interim phases of IMM implementation, it may not be possible to onboard all exposures across all asset classes. Therefore, the bank should set a reasonable threshold for exposure and product coverage to match the spirit of the regulatory requirements, while providing margin for improvement during future phases of work. • The threshold for “materiality” should be at a level that demonstrates significant progress towards full compliance with regulations and asset class coverage. How to measure materiality Copyright © 2017 Accenture All rights reserved.
  • 4. 2. Set Progress Metrics • It is our assertion that both front-to-back and composite metrics should be utilized for program tracking. These are complimentary views, each providing unique views and yielding different benefits for program management. Qualitative reporting often results in a subjective and overly-optimistic portrayal of progress. To combat biased reporting, quantitative metrics should be established and should be agreed upon at program inception, with buy-in from program sponsors. Progress metrics • Quantitative metrics remove the bias from progress reporting and provide a framework for reoccurring assessment. • Progress tracking within an IMM program requires tracking across multiple stages of the IMM process, including: 1. Data sourcing, onboarding and reconciliation 2. Pricing, simulation and valuation modeling 3. Collateral and netting set aggregation Framework options Option 1 “Matrix” Option 2 “Composite” • One option is to construct a matrix tracking progress across all stages of the process chain using a consistent delineation of the exposure population (e.g. asset class, product type) across measurements. • This front-to-back dashboard would allow program management to quickly triangulate sources of bottlenecks within the implementation work, providing for rapid remediation. • This construct is an intuitive tool for effectively communicating progress to external stakeholders. • An alternative approach for constructing progress metrics is to use a consistent measurement approach across all work streams in the program in order to roll-up to a composite metric for the program as a whole. • A straightforward representation of progress, such as “percentage complete” against work stream milestones or deliverables, can easily be supported by tracking within detailed project plans. • This holistic measurement approach allows the bank to forecast IMM completion throughout the remaining program horizon and benchmark actual progress against the planned trajectory. Copyright © 2017 Accenture All rights reserved.
  • 5. 3. Implement Robust Control Framework IMM requires multiple data inputs, including market data, trade data, counterparty and reference data, and collateral information. It is important to demonstrate to regulators that the inputs used within the IMM model are high quality, comprehensive data sets that are consistent with inputs to other related models and reported figures. Golden Sourcing and Reconciliation Data Controls • Where possible, the IMM model should source data directly from golden sources subject to robust data governance practices. • If the current infrastructure does not permit direct golden sourcing, reconciliations ought to be developed to deliver consistency • Reconciliations should be performed routinely and automated with minimal manual intervention. • Data controls are required in order to maintain data quality throughout the IMM process. • Controls should be constructed that certify inputs as “fit for use” prior to processing and confirm outputs as “effectively modeled.” • The controls system should be accompanied by robust break management tools and well- documented remediation processes. Adjustments Data Governance • Data should be adjusted prior to official month-end reporting. • Adjustments should be performed in a controlled manner and executed as far upstream as possible. • Month-end IMM runs should be inclusive of adjustments in order to align to official reporting and bank ledgers. • Clearly documented data and systems architectures should be utilized in order to provide transparency into the reconciliations, controls and adjustments that occur within the IMM process chain. Copyright © 2017 Accenture All rights reserved.
  • 6. 4. Seek Efficiencies Across Regulatory Initiatives and Bank Capabilities Your IMM solution design should take into account all ongoing regulatory and business initiatives in order to improve resource utilization and benefits captured. Exploiting synergies across bank initiatives can help yield significant time and cost savings if identified during the IMM program’s initial planning phase. Related bank programs • Some of the regulations that are related and relevant to IMM include Standardized Approach for measuring counterparty credit risk (SA-CCR), Volcker Rule, Uncleared Margin requirements, Basel Committee on Banking Supervision’s regulation 239 (BCBS 239), Office of the Comptroller of the Currency (OCC) Guidelines for Heightened Standards, Basel Coordination Committee (BCC) 15-1, BCC 13-5, Comprehensive Capital Analysis and Review (CCAR), and the Fundamental Review of Trading Book (FRTB). These regulations center around similar themes for IMM such as standardized approaches for measuring CCR exposures, frameworks for margin requirement standards, Risk Data Aggregation principles and governance, Model Risk Management principles and capital analysis and review processes. • A comprehensive review of all regulations should be performed to identify these intersection points. In addition, regulatory impacts and bank programs should be tracked and monitored to avoid duplication of efforts and to improve synchronization across work efforts and proposed target solutions. Active engagement across programs • Senior management o Program sponsors and executive leadership play a critical role in identifying overlapping program needs and opportunities to invest in strategic platforms that can greatly reduce the potential for redundant builds. o A delegate should be assigned to participate in periodic tangential program updates to understand the progress, risks and issues experienced by other bank alliances. o Executive stakeholders should also be vigilant with respect to future initiatives in the pipeline, emerging regulatory trends and evolving risk management and advanced modeling preferred practices. • IMM program participants o All program participants should also be encouraged to consider opportunities to leverage or build strategic solutions that are adaptive to multiple current and future requirements across bank functions (e.g. risk management, credit management and treasury). o In order for all participants to serve as bank stewards, a culture of operational efficiency, risk management and innovation should be promoted by the bank’s leadership. Copyright © 2017 Accenture All rights reserved.
  • 7. 5. Conduct Thorough and Transparent Self-Assessments Conducting a self-assessment that is thorough and transparent with a well structured approach is critical to complying with IMM regulations and assessing a banks’ current state and gaps towards IMM approval. Points to consider in an effective self-assessment • Self-assessment process and design structured to encompass all aspects of the regulation, bank functions and processes. • Conducted from an objective standpoint (i.e. third party) while taking input from the bank’s subject matter specialists (SMSs). • Template where data is collected and displayed should include: summary views for leadership review, the ability to have progress metrics on gap identification and closure, bank’s interpretation and adherence to the regulation. • Periodic self-assessments during the path towards finalizing the IMM waiver (at the start of the project, during more mature phases and right before the exam to demonstrate preparedness). • Bank SMSs continuously engaged with roles and responsibilities clearly defined. • Document rationale for exclusions/inclusions in IMM that deviate from the regulation, appropriate business touchpoints and “sign-off” and decisions/outcomes. Benefits • Helps the bank to evaluate conformance to a broad spectrum of IMM-related regulatory requirements with a clear mapping to regulations and their requirements. • Provides insight into IMM readiness across all processes, data, systems, models and technology. • Informs the bank of its weaknesses and strengths accurately, with gaps and accompanied severity and impacts identified. • Provides transparency and common taxonomy regarding the bank’s progress towards IMM compliance and any outstanding gaps requiring management focus. • Allows the bank to identify the right set of capability groups around which to structure the overall IMM program. Copyright © 2017 Accenture All rights reserved.
  • 8. 6. Articulate a Coherent Target Operating Model with Stakeholder Buy-In In order to demonstrate a linkage between the regulatory requirements and how the bank expects to deliver on those requirements, the bank should build a target operating model with stakeholder buy-in. Points to consider in an effective target operating model • Construct a comprehensive operating framework that outlines the areas or capabilities involved in the IMM process. • Develop and provide the framework for the bank to be operational in business as usual (BAU) and satisfy IMM requirements. • Align the regulatory requirements to bank-defined performance criteria and thresholds. • Outline, in a requirement format with accompanying performance criteria and thresholds, what is currently being done and changes to processes, systems, policies and procedures. • The guiding principles of the target operating model framework should be clearly communicated across all work streams to articulate how the framework relates to each workstream. • Structure the purpose of the framework with a matrix outlining people, process, technology, models and data. • Define and visualize key processes, process flows and controls. • Address the concept of data quality across trade, reference and market data with a data lineage component to address data population completeness and accuracy. • Evidence of control points should be collected and kept within a central repository for audit traceability. • A technical-architectural diagram should be developed to provide a visual representation of the target platform. Benefits • Allows the bank to evidence a sound IMM infrastructure and processes. • Allows the bank to demonstrate compliance to both the regulators and internal audit. • The performance and corresponding acceptable criteria can be used by the testing group to write use cases for new enhancements. Copyright © 2017 Accenture All rights reserved.
  • 9. 7. Establish an Effective Regulatory Communication Strategy Touchpoints with regulators, the Federal Reserve and the OCC, are critical for pro-actively responding to regulatory requirements, addressing open questions and managing overall expectations leading up to regulatory exams. Points to consider in an effective regulatory communication strategy • Regulatory communication strategy should be global and broad in the set of regulators it covers. • Bank should be prepared to cover all pertinent regulatory themes and provide the appropriate level of detail to satisfy inquiries. • Regulatory communication should be standardized and documented to maintain an audit trail that can be recalled as needed. • Timelines should be fully documented with dates and topics covered to have a clear picture on how these will evolve over time. • All documents should be reviewed and vetted before they are sent to regulators and discussed. • Develop a plan outlining stages for the communication, topics and expectation for the touchpoints. • Communication leads should review information to be delivered and be prepared to anticipate questions and topics that might be posed. • Dedicated project management office (PMO) function to centrally manage regulatory requirements, exam dates and deadlines. • Establish roles and responsibilities and communication frequency for program leads. • Determine “fit” given personalities of key stakeholders that interact and connect better with the regulators, and leverage these relationships especially for informal communication. • Understand what has been previously communicated and establish a baseline of information. Benefits • Allows the bank to deliver a robust IMM program. • Allows the bank to appropriately demonstrate a transparent, controlled and comprehensive technology platform and operating model when seeking regulatory approval. Copyright © 2017 Accenture All rights reserved.
  • 10. Considerations for an Effective Internal Model Method Implementation 10 Copyright © 2017 Accenture All rights reserved. Disclaimer This presentation is intended for general informational purposes only and does not take into account the reader’s specific circumstances, and may not reflect the most current developments. Accenture disclaims, to the fullest extent permitted by applicable law, any and all liability for the accuracy and completeness of the information in this presentation and for any acts or omissions made based on such information. Accenture does not provide legal, regulatory, audit, or tax advice. Readers are responsible for obtaining such advice from their own legal counsel or other licensed professionals. About Accenture Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all business functions—underpinned by the world’s largest delivery network— Accenture works at the intersection of business and technology to help clients improve their performance and create sustainable value for their stakeholders. With more than 394,000 people serving clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Visit us at www.accenture.com