Friday, August 04, 2006

What is regulatory reporting?

Regulatory reporting is one of the means through which the financial insitution controlling entities analyze the financial situation of the institution.

For the banking business, the international regulatory standards are defined by the so-called Basel Committee on Banking Supervision. This standardisation body edicts guidelines on reports the banks have to provide to their supervisory body. The latest set of guidelines is called Basel II and is currently enforced by the supervisory bodies. The general guidelines are adapted to each countries reality via Country Specific Adjustments.

For the insurrance business, the Solvency accord is giving similar guidelines.

Generally these guidelines are oriented around:
  • ensuring sound financial practices
  • ensuring the level of capital of the financial institutions covers the level of risk taken including correlation between various kinds of risk.
They tend to ensure that in case the risks faced by the institution realized themselves the institution has the required available funds to cover the losses.


At 1:18 AM, Blogger Mirsada said...

it is so great that people like to share their knowledge and experience. thank you so much for it.. Mirsada

At 12:24 PM, Blogger f O g said...

good one. thanks

At 10:43 PM, Blogger Amit Singh said...

can you please tell me some of the most important reports that bank need to present to regulators


Post a Comment

Links to this post:

Create a Link

<< Home

View Walter Wartenweiler's profile on LinkedIn