The seminar is focused on 3 papers from financial authorities and regulators: (i) Board of Governors of the Federal Reserve System – The Supervisory Capital Assessment Program; (ii) Financial Services Authority (FSA) – Stress and scenario testing; and (iii) Basel Committee on Banking Supervision (BCBS) – Principles for sound stress testing practices and supervision. The seminar contains guidelines and recommendations for an effective and firm-wide stress, and scenario, testing regime.

 

At the end of Intrinsic Value's training seminar in stress, and scenario, testing the participant should be able to:

􀂅  State  clearly  the   need   for,  conditions  governing,  and  outcomes  of  the

     Supervisory Capital Assessment Program (SCAP).

􀂅  Demonstrate an understanding of  the processes involved in SCAP loss and

     resource projections.

􀂅  Demonstrate an understanding of the SCAP capital buffer.

􀂅  Describe the calculation of additional capital to build a SCAP buffer.

􀂅  Identify the indicated additional capital buffer under SCAP.

􀂅  Describe the components of  the  FSA  proposed  changes to reverse stress

     testing.

􀂅  Describe the clarifications to Pillar I and II proposed by the FSA.

􀂅  Explain  the  findings  of  the  BCBS  relative  to  the  performance  of  stress

     testing during the crisis.

􀂅  Describe the 15 recommendations made to banks made by the BCBS.

􀂅  Describe the 6 recommendations made to supervisors by the BCBS.