Basel III Training - Advance Level in Madrid, Spain

This training on Basel III provides an in-depth understanding of the global banking regulatory framework developed by the Basel Committee on Banking Supervision (BCBS). Participants will explore key capital adequacy, risk management, liquidity requirements, and regulatory compliance aspects under Basel III. The course is ideal for banking professionals, risk managers, financial analysts, and compliance officers looking to gain expertise in regulatory risk management.

Introduction to Basel III & Capital Adequacy

• Module 1: Overview of Basel Framework
  • Evolution of Basel I, II, and III
  • Objectives and key principles of Basel III
  • Impact of Basel III on the banking sector
• Module 2: Capital Adequacy Requirements
  • Minimum capital requirements (Tier 1, Tier 2)
  • Capital conservation buffer & countercyclical buffer
  • Leverage ratio and its significance
• Module 3: Risk-Weighted Assets (RWA) Calculation
  • Credit risk and RWA measurement
  • Standardized and internal ratings-based approaches
  • Capital planning and impact assessment

Liquidity Risk, Market Risk, and Credit Risk Management

• Module 4: Liquidity Risk Management under Basel III
  • Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR)
  • High-quality liquid assets (HQLA) framework
  • Stress testing for liquidity risk
• Module 5: Market Risk Management
  • Standardized and internal models for market risk
  • Value-at-Risk (VaR) and stress testing approaches
  • Interest rate and exchange rate risk
• Module 6: Credit Risk & Counterparty Risk
  • Probability of Default (PD), Loss Given Default (LGD), and Exposure at Default (EAD)
  • Counterparty Credit Risk (CCR) and CVA (Credit Valuation Adjustment)
  • Securitization framework under Basel III

Operational Risk, Stress Testing, and Regulatory Compliance

• Module 7: Operational Risk & Advanced Risk Management
  • Definition and measurement of operational risk
  • Standardized approach vs. advanced measurement approach (AMA)
  • Cyber risk and non-financial risks under Basel III
• Module 8: Stress Testing and Risk Disclosure
  • Stress testing methodologies for capital and liquidity
  • Regulatory stress testing and ICAAP (Internal Capital Adequacy Assessment Process)
  • Pillar 3 disclosures and market discipline
• Module 9: Basel III Implementation & Future Regulations
  • Implementation challenges and global adoption
  • Basel IV developments and upcoming regulatory changes
  • Case studies on Basel III compliance in different regions
• Hands-On Labs