About This Event
“Spend your supervisory hours on the risks that could actually bring a bank down.”
A one-week in-person course on risk-based banking supervision. You will learn to build a risk profile of a bank, assess inherent risks, management quality and financial soundness, and link your ratings to a proportionate supervisory plan with clear early-intervention triggers and corrective measures.
What You'll Explore
A risk-assessment template covering inherent risk and control quality
A composite risk rating and supervisory plan for a case bank
A business model analysis method you can apply to your own banks
An early-intervention ladder with clear triggers and corrective measures
A supervisory response to a deteriorating bank, tested before peers
Who Should Attend
Open to all qualifying staff, particularly: Banking Supervisors, On-site Examiners, Off-site Analysts, Supervisory Team Leaders, Prudential Policy Staff.
Why This Course Matters
Focus Where Risk Is
Compliance checklists spread supervisory effort evenly across every bank and every rule. A risk-based approach concentrates your team's time on the institutions and activities that matter most.
Soundness, Not Just Ratios
Capital and liquidity ratios can look healthy until governance or credit quality fails. Assessing management, controls and business model shows problems while the numbers still look fine.
Intervene Early
The cheapest bank failure is always the one prevented early. Clear, pre-agreed triggers and escalating corrective measures give you the basis to act before losses become a resolution case.
Programme
Day 1
Principles of risk-based supervision
You will compare compliance-based and risk-based supervision, review the Basel Core Principles on supervisory approach, and set out the building blocks of a risk-based supervisory framework.
Day 2
Business model analysis & inherent risk
You will analyse a bank's business model and strategy, then assess inherent credit, market, liquidity, operational and concentration risks using both off-site data and on-site findings.
Day 3
Governance, controls & risk management quality
You will evaluate board oversight, risk management functions and internal controls, and learn how to combine inherent risk and control quality into a net risk assessment for each activity.
Day 4
Risk ratings, supervisory planning & resources
You will build a composite risk rating for a case bank, set its supervisory intensity and turn the rating into an annual plan that allocates examination time where the risk is highest.
Day 5
Early intervention & corrective measures
You will design early-intervention triggers and a ladder of corrective measures, then apply them to a deteriorating case bank and defend your supervisory response before a peer panel.
Standards & Faculty Benchmark
Basel Core Principles (BCP)
The global standard for supervisory approach, powers, early intervention and corrective action.
Basel III framework
Capital, liquidity and funding standards used to assess a bank's overall financial soundness.
BCBS Corporate Governance Principles for Banks
Basel guidance on board responsibilities, risk governance and control functions in banks.
The Basel Core Principles are the benchmark used in IMF and World Bank assessments of your supervisory framework. A risk-based approach built on them strengthens your standing in those reviews and gives banks a clear, predictable basis for your decisions.
Is This Right for You?
- ☑You conduct on-site or off-site banking supervision
- ☑Your institution is moving towards a risk-based approach
- ☑You want a rating method that links directly to action
Good to Know
Suited to supervisors with some examination experience who want a structured risk-based method; no prior training in risk rating is needed. You leave with a risk-assessment template, a composite rating for a case bank and an early-intervention ladder.
The Bottom Line
Bring back a risk-based method that tells you where to look, what to rate and when to step in, bank by bank.
Recommended For
Open to all qualifying staff, particularly: Banking Supervisors, On-site Examiners, Off-site Analysts, Supervisory Team Leaders, Prudential Policy Staff.