ΠΕΡΙΓΡΑΦΗ

A KPMG Cyprus Board Member and a Director of our Risk Consulting Department, possessing solid experience in capital adequacy in the local banking sector both hands-on and via trainings, will provide an overview of the key provisions of the Capital Requirements Regulation (“CRR”) III. This is expected to enter into force on 1 of January 2025 and shall amend the European Capital Requirements Regulation (EU Regulation 575/2013 on Prudential Requirements of Credit Institutions or CRR), thus completing the EU’s response to the full set of the Basel IV amendments proposed by the BCBS. 

The trainers will explain how the Pillar 1, capital adequacy calculations of banks, should be amended to comply with the revised framework and will discuss the anticipated impact of the amendments based on industry experience.  It should be noted that the training will be enriched with practical, hands-on examples, in order to make the concepts easier for comprehension.

CPD

This seminar may contribute to Continuing Professional Development requirements. At the end of the seminar participants will be given a certificate of attendance confirming the total number of training hours (6 CPD).

ΣΚΟΠΟΣ ΣΕΜΙΝΑΡΙΟΥ

By the end of the training, participants will be able to:

• Familiarise themselves with the main changes introduced by the CRR III
• Be in a position to apply the aforementioned changes to their own capital adequacy calculations and understand the impact on their organisation
• Identify ways to better resolve any related issues they may face.

ΣΕ ΠΟΙΟΥΣ ΑΠΕΥΘΥΝΕΤΑΙ

This training is addressed to officers serving in a number of functions within banks, including Directors, General Managers, CEOs, CFOs, Heads of Risk Management Functions, Credit Risk Officers, Market and Liquidity Risk Officers, Operational Risk Officers, Accounting and Finance Control Officers, Heads of Compliance Functions and Compliance Officers, Heads of Internal Audit Functions and Internal Audit Officers, officers involved in Regulatory Reporting, officers involved in Treasury/Proprietary Trading Functions and Information Systems Officers and other relevant professionals.

ΠΕΡΙΣΣΟΤΕΡΕΣ ΠΛΗΡΟΦΟΡΙΕΣ

Agenda

1. Introduction (30 minutes)

• Objectives of the seminar
• Key learning outcomes
• Drivers and purpose of the revisions to the Basel III framework
• Summary of key changes introduced by the Basel IV framework
• Anticipated impact of CRR III amendments

2. Credit Risk (3 hours and 30 minutes)

• Revisions to the Standardised Approach for Credit Risk

            o Deriving the Credit Risk exposure

            o CRR III amendments in the treatment of selected asset classes and exposures

            o Numerical Examples

• Credit Valuation Adjustment (CVA) Risk
• Credit Risk Mitigation

3. Operational Risk (30 minutes)

• New Standardised Approach for Operational Risk
• Numerical Example

4. Market Risk: Fundamental Review of the Trading Book (FRTB) (45 minutes)

• FRTB purpose and main provisions
• Main industry concerns

5. Output Floor (15 minutes)

• Meaning and purpose
• Transitional provisions

6. Other Topics (30 minutes)

• Large Exposures
• Leverage Ratio
• Disclosures.

Trainers

Marios Lazarou
Board Member, Head of Advisory, KPMG in Cyprus

Marios is heading the Advisory Department of KPMG in Cyprus. He has more than 24 years of advisory experience in the Financial Services sector. In the last years, he has been involved in multiple advisory engagements in the areas of banking risk and regulation with emphasis on capital adequacy, credit risk processes and procedures and risk quantification and stress testing. He was the Cyprus Champion on the KPMG AQR Forum at the EU level.

In the recent years, he has contributed to certain high-profile projects in the Cyprus financial services industry as a regulatory and banking expert, either by leading the projects or by supporting KPMG’s teams from the UK and Netherlands. He has, also, led several projects for the implementation and design of ICAAP frameworks, for more than 10banks in Cyprus and in Europe.

Furthermore, he has delivered numerous Risk-related trainings whilst during the last three years, he has been training the board of directors of almost all banks in Cyprus on regulatory, risk management and other banking topics. 

In 2015, he was certified by the HRDA as a “Trainer of Vocational Training”.

Artemis Hadjivarnava
Principal, Capital Adequacy Lead, Risk Consulting, KPMG in Cyprus

Artemis is a Principal in the Risk Consulting department of KPMG in Cyprus, with more than 15 years of experience in the financial services advisory field. She is heading the Capital Adequacy consulting team and has extensive experience in the implementation of various assurance and advisory engagements in relation to Capital Adequacy (Basel III & IV, CRR/CRD, IFR/IFD) Calculations and Impact Studies, Capital Adequacy seminars, Consolidated Supervision, ICAAPs, Pillar 3 Disclosures, Operational Risk Management Frameworks, Client Assets, Internal Controls and overall Regulatory Compliance in banks and investment firms.

Artemis has participated in numerous Basel II & III (Pillar 1) projects with several banks and investment firms in Cyprus and is currently assisting such organisations to quantify and understand the impact of the CRR III rules (for banks and investment firms) and the IFR/IFD prudential rules (for investment firms) on their capital requirements and their overall regulatory obligations. Furthermore, she has participated in the implementation of a Basel III Pillar 1 calculations engine in two of the largest local banking institutions, performed Capital Efficiency exercises and delivered educational, hands-on seminars on Capital Adequacy regulatory provisions to banks and investment firms.

In 2015, she was certified by the HRDA as a “Trainer of Vocational Training”.