Certified Basel III Expert

Did you know that Basel III implementation has significantly improved bank resilience, with Common Equity Tier 1 (CET1) ratios for large banks increasing from 7% in 2011 to over 13% in 2024?

Course Overview

The Certified Basel III Expert course by Alpha Learning Centre is meticulously designed to equip professionals with essential skills in Basel III regulatory framework implementation and compliance. This course focuses on capital adequacy, liquidity requirements, and risk management frameworks, ensuring participants can effectively navigate the complex landscape of Basel III standards.

Why Select This Training Course?

Selecting this Basel III Expert Course offers numerous advantages for professionals involved in banking regulation and risk management. Participants will gain advanced knowledge of capital requirements, liquidity standards, and compliance frameworks. The course provides hands-on experience with industry-standard calculation methods and real-world case studies, enabling attendees to optimise their regulatory strategies effectively.

For organisations, investing in this training enhances overall financial stability and ensures regulatory compliance. By ensuring that personnel are well-trained in Basel III practices, organisations can better maintaina minimum CET1 ratio of 4.5%, Tier 1 ratio of 6%, and total capital ratio of 8%, along with additional capital buffers.

For individuals who complete this course will benefit from enhanced career prospects as they become more valuable assets in their respective fields. The skills acquired through this training can lead to professional growth and increased responsibilities within their organisations. With regulatory requirements becoming more complex, professionals with Basel III expertise are increasingly in demand.

Transform your Basel III capabilities – Register now for this critical advanced training programme!

Who Should Attend?

• Risk managers in financial institutions
• Regulatory compliance officers
• Bank executives overseeing capital and liquidity
• Financial analysts focusing on banking regulations
• Internal auditors specializing in regulatory compliance

What are the Training Goals?

• Master the intricacies of Basel III standards
• Enhance skills in implementing Basel III requirements
• Understand the impact of Basel III on bank operations and strategy
• Develop expertise in calculating and managing capital adequacy
• Improve proficiency in regulatory reporting and compliance

How will this Training Course be Presented?

The Certified Basel III Expert Course delivers comprehensive, hands-on training through proven methodologies designed to maximize learning outcomes and practical skill development. Our expert instructors employ the following methods:

• Detailed case studies on Basel III implementation
• Hands-on workshops for calculating risk-weighted assets
• Expert-led discussions on regulatory changes and industry impacts
• Interactive sessions on compliance strategies
• Simulation exercises for stress testing and scenario analysis

Each delivery method is carefully integrated to ensure participants gain both theoretical knowledge and practical experience. The course structure promotes active engagement and real-world application, allowing participants to develop crucial analytical and strategic skills within a supportive learning environment.

Join us to experience this dynamic and effective learning approach – Register now to secure your place!

Course Syllabus

Module 1: Basel III Framework Components

• Capital Requirements under Basel III
• Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR)
• Leverage Ratio calculations
• Countercyclical Capital Buffer
• Systemically Important Financial Institutions (SIFI) requirements
• TLAC (Total Loss-Absorbing Capacity) for resolution planning
• Market discipline through Pillar 3 disclosures

Module 2: Risk-Weighted Assets (RWA) Calculation

• Standardized Approach for credit risk
• Internal Ratings-Based (IRB) Approach nuances
• Operational risk under Basel III
• Market risk methodologies
• Credit valuation adjustment (CVA) risk
• Securitization exposures under Basel III
• Operational risk adjustments for business lines

Module 3: Capital Adequacy Management

• Strategies for meeting Common Equity Tier 1 (CET1) capital
• Additional Tier 1 and Tier 2 capital instruments
• Capital conservation buffer management
• Dividend policies and capital planning
• Capital allocation across business units
• Impact of regulatory capital on business strategy
• Capital adequacy stress testing

Module 4: Liquidity Risk Management

• Building and maintaining the LCR
• NSFR compliance and funding strategy
• Intraday liquidity management
• Contingency funding plans
• Monitoring and reporting liquidity metrics
• Liquidity stress testing scenarios
• Interaction between liquidity and capital management

Module 5: Regulatory Compliance Processes

• Establishing a Basel III compliance framework
• Compliance with data quality and reporting standards
• Regulatory reporting systems and tools
• Interacting with supervisors and regulators
• Managing regulatory changes and updates
• Compliance culture and training within the organization
• Responding to regulatory audits and examinations

Module 6: Impact of Basel III on Business Models

• Adjusting business models for capital efficiency
• Product design under Basel III constraints
• Pricing strategies in light of capital charges
• Balance sheet optimization and management
• Restructuring trading activities
• Changes in lending practices and credit policies
• Strategic planning considering regulatory capital

Module 7: Stress Testing and Scenario Analysis

• Designing and implementing stress test models
• Macro-economic scenarios for stress testing
• Reverse stress testing methodologies
• Incorporating stress testing into risk management
• Regulatory expectations for stress testing
• Communicating stress test results to stakeholders
• Action plans based on stress test outcomes

Module 8: Operational Implementation of Basel III

• IT systems for Basel III compliance
• Data collection and management for RWA
• Change management for Basel III adoption
• Training programs for staff on Basel III
• Internal audit’s role in Basel III compliance
• Cross-functional collaboration for implementation
• Continuous monitoring and adjustment of compliance

Module 9: Basel III and International Banking

• Harmonizing Basel III across jurisdictions
• Challenges in international regulatory recognition
• Cross-border banking and capital transfer implications
• Local versus international regulatory approaches
• Impact of Basel III on global market access
• Negotiating with local regulators for equivalence
• Managing international liquidity

Module 10: Pillar 2 – Supervisory Review Process

• Assessing internal capital adequacy assessment processes (ICAAP)
• Supervisory expectations and dialogues
• Risk concentration management
• Interest rate risk in the banking book (IRRBB)
• Pillar 2 capital add-ons and supervisory actions
• Integrating Pillar 2 with overall risk management
• Preparing for supervisory reviews

Module 11: Pillar 3 – Market Discipline and Disclosure

• Enhancing transparency through disclosures
• Key metrics and risk exposures reporting
• Frequency and format of Basel III disclosures
• Confidentiality versus transparency issues
• Disclosure policies and practices
• Use of disclosures for market discipline
• Regulatory expectations for disclosure quality

Module 12: Basel III and Financial Stability

• Basel III’s role in promoting financial stability
• Pro-cyclicality and counter-cyclical measures
• Impact on systemic risk and financial system resilience
• Basel III in crisis management and resolution
• Interaction with other regulatory frameworks
• Long-term effects on the banking sector
• Evaluating Basel III’s success in achieving objectives
• Preparing for future regulatory shifts

Training Impact

The impact of Basel III expert training is evident through various real-world case studies and data, which demonstrate the effectiveness of structured programmes in enhancing regulatory compliance and risk management.

Research indicates that organizations with mature Basel III frameworks achieve better capital optimization, enhanced risk management capabilities, improved regulatory relationships, and stronger market confidence.

These case studies highlight the tangible benefits of implementing advanced Basel III techniques:

• Improved capital adequacy management
• Enhanced liquidity risk control
• Increased accuracy in regulatory reporting
• Strengthened risk management frameworks

By investing in this advanced training, organisations can expect to see:

• Significant improvement in regulatory compliance
• Improved ability to handle complex capital requirements
• Enhanced decision-making capabilities in risk management
• Increased competitiveness through comprehensive Basel III strategies

Transform your career and organisational performance – Enrol now to master Basel III Implementation!