Stress testing and systemic risk management

COURSE DESCRIPTION: Nowadays, stress testing has gained a strong importance in financial news, banking capital regulations and in the world’s assessment of banks. Recently, international regulators and governments have stressed the role of systemic risk in the world financial system; the “domino effect” of a financial crisis swept many major banks into ruin. Every banking executive needs to be familiar with these techniques and with what is required by regulatory authorities across the globe.
The course aims to put stress testing and systemic risk in a practical perspective that supports implementing and developing these required techniques as integrated elements in a financial institution’s risk management programme. Risk and regulatory capital are now strongly correlated; therefore the programme will address the real-world economic needs.

COURSE SUMMARY:
The course explores stress testing and systemic risk through the related spheres of risk measurement, risk management, and prudential financial regulation. During this rise to prominence, a flood of words has issued, from regulators, from academics, from financial risk managers, from commentators and analysts.

Attendees will gain the following:
• Clear understanding of the main elements of Financial Analysis, Risk Measurement, Risk Modelling
& Risk Management
• Clear understanding of Credit and Counterparty Risk elements
• Clear Understanding of Market Risk elements
• Clear understanding of Operational Risk elements
• Understanding the relation between stress and the instruments that compose financial institutions
• Understanding the relationship between stress testing and bank management
• Learning how to implement or enhance develop a stress testing regime at a financial institution
• Understanding the regulatory stress testing agenda
• Understanding the regulatory systemic risk agenda
• Understanding the relationship between risk-sensitive data capture and analysis and
modelled risk exposure
• Grasping and exploiting the relationship between analytical modelling tools and expertise
• Understanding the history and context of systemic risk analysis
• Understand the track record of industry and regulatory attempts to handle financial stress
This programme will enable attendees to make sense of, and efficiently participate in this phase of financial institutions' risk analysis and management.

TARGET AUDIENCE:
All those professional that have essential knowledge on financial profitability and risk management, involved in designing and implementing financial analysis and risk management systems and frameworks, including: ALM, Counterparty, Credit exposure and risk management, Liquidity and Value Analysis / Risk, Income simulation, as well as Basel II / III and ICAAP framework. Investment Institutions, Financial Services Providers, Brokerage Firms, Hedge Funds, Consultancies and Solution Providers should also attend this training workshop. In particular, the following should participate: ALM managers, Market Risk, Counterparty and Credit risk managers, Credit Exposure Managers, Collateral managers, Quantitative analysts, Financial Risk managers, Financial Risk Analysts, Financial engineers, Chief risk officers, Chief Financial Officer (CFO), Chief Information Officer (CIO), Treasurers, Credit Risk Controllers, Credit Limit Controllers and Managers, Financial Auditors, Regulators, Bank examiners, Board Advisors and Directors.

Course reviews:

“I had no idea of the importance of stress testing in risk management: the course has really helped me understand all the implications of these techniques.”
Martha Bon
Consultant, Wentworth industries

“The course leader made everything very clear and he was very approachable: I really recommend the course.”
Eduardo Leal
Associate, Extensive enterprise

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