This client is one of the Top 10 banks in North America with assets in excess of $175 billion. They are a leading provider of deposit, credit, trust and investment services.
This bank is committed to a rigorous and disciplined approach to managing risk.
Since the “credit crunch” began, banks have come under increased pressure to maintain a strong balance sheet and more effectively manage their risk in order to retain the confidence of regulators, shareholders, institutional lenders, analysts and depositors. Regulations such as Basel II, the international standard outlining the amount of capital banks must put aside to guard against financial and operational risks, were designed to ensure the health and viability of the financial system.
While the bank is not required to comply with Basel II (they do not meet the assets threshold), they decided to adopt the new standards voluntarily as part of their broader enterprise risk management strategy. By doing so, they expect a range of benefits: decreased financial and operational risk, a more accurate understanding of their customers’ risk profiles, improved insight into their financial holdings and exposures, and the ability to measure their risk management practices against the international standard.