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Course Background

Enterprise Risk Management (ERM) is a comprehensive, systematic approach for helping organizations identify, measure, prioritize and respond to the risks challenging its most critical objectives and related projects, initiatives and day-to-day operating practices. Companies want to become more effective at using ERM as a strategic decision-making framework to run the business and supported by risk optimization within a risk management framework. The regulatory response to the 2008-2009 financial crisis is contained in Basel III which, building on the Basel II Accord, sets out to make capital requirements more risk-sensitive and risk coverage. Basel III-related requirements further introduces new liquidity management and leverage standards, and provisions for counterparty credit risk. The course/workshop will also review related significant topics including Conduct Risk, Dodd-Frank, Model Risk, Stress Testing & Scenario Modeling, etc. And, now preparations have started for Basel IV. Basel IV is not a single regulatory framework, but, rather a collection of changing international banking standards. In fact, the Basel Committee views these reforms as simply completing the Basel III Accord and contests the use of the unapproved term ‘Basel IV’. Irrespective of the terminology, significant new burdensome requirements are being introduced by the Bank for International Settlements and Basel Committee of Banking Supervision. In fact, Basel IV is being referred to as the most comprehensive transformation package in the history of the Basel regulations. This course/workshop explains the subject of Enterprise Risk Management and explores the process and techniques available for the successful assessment and treatment of risk and the embedding of risk management in the organization.

KEY LEARNING OUTCOMES

This course/workshop is about ensuring an effective Enterprise Risk Management (ERM) framework. By the end of the course/workshop attendees will have obtained:

  • An understanding of Enterprise Risk Management (ERM) from concept through to implementation
  • A risk assessment perspective to cover all significant internal and external business - related risks as well as the requirements of Corporate Governance and Compliance
  • A practical and applied approach through topics covering the key terms of Governance, Risk & Compliance and the role of ERM in the Governance model
  • A strong grasp of the Basel Accords Framework, including Basel I, II, 2.5, III and the upcoming IV
  • An understanding of current issues, challenges, and emerging practices regarding risk management, control, and governance processes
  • Key concepts of Enterprise Risk Management and the recursive Risk Management Framework process (identification, measurement, assessment, mitigation and monitoring of risk)
  • Methods on how to identify, assess, measure, monitor, manage (mitigate) and report key risks using a Risk Management Framework
  • A comprehensive practical take-away risk tools for immediate application of Basel II, 2.5 & III, and preparation for Basel IV

Where & When

Date: 5th & 6th March 2020
Venue: DoubleTree, Kuala Lumpur

Who Should Attend?

This course has been specifically designed to benefit:
  • Chief Executive Officer
  • Chief Financial Officer
  • Chief Risk Officer
  • Heads of Risk
  • Head of Risk Categories - Credit Risk, Market Risk, Liquidity Risk, Operational Risk, etc.
  • Risk Managers
  • Board Directors
  • Heads of Audit
  • Internal Auditors
  • Heads of Compliance/Regulation
  • Compliance Officers
  • Head of Finance/Capital Management
  • Basel Accords Project Managers
  • Business Heads
  • Risk Management Professionals
  • Regulators

Fee

Early bird : RM 2,835
Early Bird: Registrations received on or before 5th February 2020, will receive a 10% discount. No discount shall be given to registrations received after this cut-off date.
Standard : RM3,150 per delegate
2 delegates (5% Discount) :RM2,995 per delegate
3 delegates (15% Discount) : RM2,680 per delegate
4 delegates (25% Discount) : RM2,365 per delegate
5 delegates (30% Discount) : RM2,205 per delegate

In-house/group training

If you are looking for an in-house training program or wish to send a group to an existing public program, kindly please contact Andrew Tebbutt at [email protected] or +603 2162 7802.
Learn More

Manual Registration

Kindly complete the registration form and email to [email protected] or fax +603 2162 7810

For enquiries please contact:

Normariya Sariman
Account Manager, REDmoney Seminars
[email protected]
Direct Line: +603 2162 7800 ext 44

Ramesh Kalimuthu
Events Sales Director
[email protected]
Direct Line: +603 2162 7800 ext 65
Fax: +603 2162 7810

For sponsorship & speaking opportunities:

Andrew Tebbutt
Managing Director
[email protected]
Direct Line: +603 2162 7802

For marketing and media enquiries

Govina Selvanthran
Marketing Manager
[email protected]
Direct Line: +603 2162 7800 ext 22

Download Brochure

Where & When

Date: 5th & 6th March 2020
Venue: DoubleTree, Kuala Lumpur

Who Should Attend?

This course has been specifically designed to benefit:
  • Chief Executive Officer
  • Chief Financial Officer
  • Chief Risk Officer
  • Heads of Risk
  • Head of Risk Categories - Credit Risk, Market Risk, Liquidity Risk, Operational Risk, etc.
  • Risk Managers
  • Board Directors
  • Heads of Audit
  • Internal Auditors
  • Heads of Compliance/Regulation
  • Compliance Officers
  • Head of Finance/Capital Management
  • Basel Accords Project Managers
  • Business Heads
  • Risk Management Professionals
  • Regulators

Fee

Early bird : RM 2,835
Early Bird: Registrations received on or before 5th February 2020, will receive a 10% discount. No discount shall be given to registrations received after this cut-off date.
Standard : RM3,150 per delegate
2 delegates (5% Discount) :RM2,995 per delegate
3 delegates (15% Discount) : RM2,680 per delegate
4 delegates (25% Discount) : RM2,365 per delegate
5 delegates (30% Discount) : RM2,205 per delegate

In-house/group training

If you are looking for an in-house training program or wish to send a group to an existing public program, kindly please contact Andrew Tebbutt at [email protected] or +603 2162 7802./p>

Manual Registration

Kindly complete the registration form and email to [email protected] or fax +603 2162 7810

Course Background

Enterprise Risk Management (ERM) is a comprehensive, systematic approach for helping organizations identify, measure, prioritize and respond to the risks challenging its most critical objectives and related projects, initiatives and day-to-day operating practices. Companies want to become more effective at using ERM as a strategic decision-making framework to run the business and supported by risk optimization within a risk management framework. The regulatory response to the 2008-2009 financial crisis is contained in Basel III which, building on the Basel II Accord, sets out to make capital requirements more risk-sensitive and risk coverage. Basel III-related requirements further introduces new liquidity management and leverage standards, and provisions for counterparty credit risk. The course/workshop will also review related significant topics including Conduct Risk, Dodd-Frank, Model Risk, Stress Testing & Scenario Modeling, etc. And, now preparations have started for Basel IV. Basel IV is not a single regulatory framework, but, rather a collection of changing international banking standards. In fact, the Basel Committee views these reforms as simply completing the Basel III Accord and contests the use of the unapproved term ‘Basel IV’. Irrespective of the terminology, significant new burdensome requirements are being introduced by the Bank for International Settlements and Basel Committee of Banking Supervision. In fact, Basel IV is being referred to as the most comprehensive transformation package in the history of the Basel regulations. This course/workshop explains the subject of Enterprise Risk Management and explores the process and techniques available for the successful assessment and treatment of risk and the embedding of risk management in the organization.

KEY LEARNING OUTCOMES

This course/workshop is about ensuring an effective Enterprise Risk Management (ERM) framework. By the end of the course/workshop attendees will have obtained:

  • An understanding of Enterprise Risk Management (ERM) from concept through to implementation
  • A risk assessment perspective to cover all significant internal and external business - related risks as well as the requirements of Corporate Governance and Compliance
  • A practical and applied approach through topics covering the key terms of Governance, Risk & Compliance and the role of ERM in the Governance model
  • A strong grasp of the Basel Accords Framework, including Basel I, II, 2.5, III and the upcoming IV
  • An understanding of current issues, challenges, and emerging practices regarding risk management, control, and governance processes
  • Key concepts of Enterprise Risk Management and the recursive Risk Management Framework process (identification, measurement, assessment, mitigation and monitoring of risk)
  • Methods on how to identify, assess, measure, monitor, manage (mitigate) and report key risks using a Risk Management Framework
  • A comprehensive practical take-away risk tools for immediate application of Basel II, 2.5 & III, and preparation for Basel IV

Seminar Agenda

Day One

08:30 – 09:00
Registration and Coffee
09:00 – 10:30
Session One: What is Enterprise Risk Management?
  • Defining risk management and the importance of an ERM framework
  • Understanding the key elements of an effective risk management programme
  • Roles and responsibilities for ERM
  • The benefits of ERM
  • Breaking down the different types of risks:
    • Credit Risk
    • Market Risk
    • Liquidity Risk
    • Operational Risk
    • Other risks
  • Scanning your environment for risks and opportunities
  • Establishing an acceptable level of risk appetite
  • Communication and getting buy-in at the board level and throughout the organization
10:30 – 11:00
Tea Break
11:00 – 12:30
Session Two: The Enterprise Risk Management Cycle
  • Implementing a program of Risk Strategy, Risk Appetite and Risk Tolerance
  • Risk Management Methodology and Risk Principles
  • Using the key concepts of Materiality and Proportionality
  • Understanding the steps of the risk management cycle:
    • Risk identification/recognition
    • Risk assessment/evaluation
    • Risk response and mitigation
    • Internal controls
    • Risk measurement
    • Risk monitoring
    • Risk management (mitigation)
    • Risk reporting
  • Forming a strong oversight and control environment
  • Key measures of risk (including VAR)
  • Regulatory and economic capital
  • The Bank for International Settlements and risk management
  • Strategic risk
  • Reputational risk
  • Outsourcing and risk management
12:30 – 14:00
Lunch
14:00 – 15:30
Session Three: Strengthening the Core Values of Corporate Governance
  • Introduction to key corporate governance legislation and best practices
  • Building a robust Corporate Governance framework using the right principles
  • What is Corporate Social Responsibility (CSR) and why do companies need it?
  • Aligning Corporate Governance, Compliance and Risk Management policies

 

Session Four: Compliance
  • Key Compliance Requirements (Processes):
    • The development of a compliance manual
    • The training requirements
    • Recording training and competence
    • Matching skills to roles
    • Senior Management roles
  • Key Compliance Requirements (Best Practice):
    • Money laundering deterrence
    • KYC and KYCB
    • Higher risks accounts and PEPs
    • Market abuse and insider trading
    • Dealing room issues
    • Advertisements
    • Documentation
    • Outsourcing
  • Ensuring international compliance:
  • The impact and problems of home host regulation
  • How does regulation change throughout the world?
  • The role of management
  • The role of the compliance officer
  • The role of internal and external audit
15:30 – 16:00
Tea Break
16:00 – 17:30
Session Five: Basel Framework
  • Why is regulatory capital important?
  • The evolving Basel Accords: An overview of Basel I, II & III, and the upcoming IV
  • The evolving risk landscape and its impact on capital requirements
  • The emergence of systemic risk as a primary risk category
  • The different forms of capital and their interrelationship:
    • Book
    • Economic
    • Regulatory
  • Treatment of Banking Book/Trading Book split
  • The Financial Crisis: Diagnostics, systemic risk, inadequacy of parts of Basel II
  • New emphasis on stress testing and focus on counter party credit risk
  • Systemically Important Financial Institutions (SIFIs) and G-SIB’s
  • Explanation of the Three Pillars approach – implications, including:
    • ICAAP (Internal Capital Adequacy Assessment Process)
    • ILAAP (Internal Liquidity Adequacy Assessment Process)
    • Pillar 3 - Market Discipline / Disclosure

Day Two

08:30 – 09:00
Registration and Coffee
09:00 – 10:30
Session One: Basel II - Credit Risk
  • Meeting the requirements under Basel I, II and III
  • Managing the minimum 8% risk weighting requirement
  • Supervisory increases of minimum risk weighting
  • Simplified Standardized approach for credit risk
  • Risk weighting categories
  • Implications for Risk Weightings and Capital
  • Treatment of credit risk mitigation techniques under simplified standardized approach
  • Credit Risk Mitigation Comprehensive method
  • IRB: How does it work and what is the approval process for each approach?
  • The mechanism of IRB approaches
  • Different categories of exposures
  • Examination of PD, LGD, EAD and M within the Basel formula
  • Adopting the IRB approach across asset classes
  • Proposed changes to capital rules
10:30 – 11:00
Tea Break
11:00 – 12:30
Session Two: Basel III - The New Banking Resiliency Rules
  • The improvement in the quality of capital
  • Point of non-viability and the loss absorbability of capital
  • Capital:
    • Capital Adequacy Ratios (CAR) – increased base requirements, stricter definitions
  • Regulatory adjustments to shareholder capital and reserves
  • Capital conservation and countercyclical buffers
  • Systemically important financial institution (Local and global) capital surcharges
  • Basel III and consistency in risk-weighted asset (RWA) calculation

 

Session Three: Liquidity Risk and Leverage Ratio
  • Explanation of Liquidity Coverage Ratio (LCR)
  • Criteria for inclusion as High Quality Liquid Assets (HQLA)
  • A Global Liquidity Standard
  • Introduction and criteria for Liquidity Coverage Ratio (LCR)
  • Introduction and criteria for Net Stable Funding Ratio (NSFR)
  • Available Stable Funding (ASF)
  • Required Stable Funding (RSF)
  • Management and supervision of liquidity risk
  • Leverage Ratio (3%)
  • Leverage Ratio: The Key Requirements
  • Leverage Ratio: Basis of Calculation
12:30 – 14:00
Lunch
14:00 – 15:30
Session Four: Living Wills (Recovery and Resolution Plans)
  • The Basel III related requirements on Living Wills
  • Recovery Plans - Management
  • Resolution Plans – Board
  • Subsequent guidance
  • What does this mean in practice?
  • Good Corporate Governance
    • Defining ‘What does good look like?’
15:30 – 16:00
Tea Break
16:00 – 17:00
Session Five: Basel IV
  • Credit Risk and Counterparty Credit Risk:
    • Revisions to Standardized Methodology for Credit Risk (SA – CR)
    • New Standardized Approach for Counterparty Credit Risk (SA-CCR)
    • Changes to Internal Ratings Based (IRB) methods
    • Credit Valuation Adjustment (CVA)
    • Credit Risk: Market discipline/ Disclosure (Pillar III)
    • Basel IV - Implementation timeline, regulatory views, implementation challenges and the potential impact of Basel IV on Credit Risk Capital
  • Market Risk:
    • Background: What are the current Allowable methods?
    • Basel I – Market Risk Amendment
    • Basel 2.5
    • Standardized Measurement Approach
    • Internal Models Approach
    • Capital and Risk Weighting Impact
  • What is the fundamental review of the Trading Book?
  • Problems with the current Basel 2.5 Market Risk Framework
  • Key objectives of FRTB
  • Ten key points of FRTB
  • Operational risk:
    • Background: What are the current allowable methods (under Basel II)?
    • Basic Indicator Approach
    • Standardized Approach
    • Advanced Measurement Approach (AMA)
  • Simplification of the framework by removing the modelled approach re: Advanced Measurement Approach (AMA)
  • Removing AMA: Complexity and the lack of comparability have increased variability in RWA calculations
  • New Standardized Measurement Approach: A single non-model-based method for the estimation of operational risk capital

Seminar Speaker


Mark Dougherty 
Consultant

Mark Dougherty, is a full-time Risk Management Consultant who currently resides in London and teaches Enterprise Risk Management courses world-wide. His courses focus on the practical and the important elements that are essential to achieve success. It’s not just about textbook learning.

Originally from North America, Mark has worked extensively in Toronto & New York and other major financial centers around the globe. Mark has worked in financial services organizations of all types and sizes and has led major risk-related transformation programmes using his subject matter expertise for institution-wide Risk Management and corporate governance initiatives. He is an experienced subject - matter Programme Director with a successful track record in implementing regulatory initiatives to establish industry-leading standards in Liquidity Risk, Compliance, Capital Management and Governance in all aspects of Asset - Liability, Credit, Market, Conduct and Operational Risks. He is most often accountable for programme reporting to the Board and Executive Management.

Mark has also led programmes and projects involving multidisciplinary teams across different geographies involving various regulatory authorities. He provides global risk training educational services on Risk Management in both developed countries (Australia, Austria, UK - British Bankers’ Association, The Netherlands and USA) and emerging markets including Egypt, United Arab Emirates (Dubai & Abu Dhabi), Kuwait, Saudi Arabia, Qatar, Oman, Bahrain, Nigeria, Kenya, Rwanda, Mozambique, Tanzania, Malaysia, Slovenia, Croatia and Bosnia). Mark is also a Risk Management lecturer for Cambridge University’s Banking Executive Programme.

  • His design and delivery of courses have included topics such as:
    • Enterprise Risk Management
    • Liquidity Risk
    • Model Risk
    • Basel II & III
    • Risk & Capital Management
    • Asset and Liability Management
    • Credit Risk
    • Market Risk
    • Operational Risk
    • Treasury Risk Management
    • ICAAP
    • ILAAP
    • Corporate Governance

Mark's extensive Financial Institutions’ experience across a wide range of Risk and Corporate Governance areas distinguishes his courses as an expert combination of discussing his actual involvement and providing his detailed know-how and real life examples on the proper approaches to take and how to avoid the common traps in implementation. Mark is the author of the book ‘The Intelligent Citizen’s Guide to Risks in Financial Institutions’ (Amazon); contributing author for GARP’s (Global Association of Risk Professionals) textbook ‘Foundations of Banking Risks’ and contributor of numerous Risk Management articles for various professional journals.

Mark is also a Big Four trained Canadian Chartered Professional Accountant (CPA) & Certified Management Accountant (CMA) and an International Associate of the American Institute of Certified Public Accountants (AICPA) in the United States. His career spans over 30 years in Financial Institutions, 20 of which have been in Risk Management.

For enquiries please contact:

Normariya Sariman
Account Manager, REDmoney Seminars
[email protected]
Direct Line: +603 2162 7800 ext 44

Ramesh Kalimuthu
Events Sales Director
[email protected]
Direct Line: +603 2162 7800 ext 65
Fax: +603 2162 7810

For sponsorship & speaking opportunities:

Andrew Tebbutt
Managing Director
[email protected]
Direct Line: +603 2162 7802

For marketing and media enquiries

Govina Selvanthran
Marketing Manager
[email protected]
Direct Line: +603 2162 7800 ext 22