The Basel Handbook: A Guide for Financial Practitioners (2nd edition)

Now in its second edition, this bestselling handbook has been fully updated and expanded in light of important changes to the new Basel II Accord. Now including new chapters and fresh topics such as the asset classes required under Pillar 1, the new required elements for capital adequacy and the minimum capital requirements for securitization and operational risk, credit risk mitigation, supervisory review and market discipline. Through trial and error, the three pillars have evolved and some of the original ideas have proved to be impractical. This popular handbook methodically identifies the fundamental changes and recent additions to Basel II, such as increased flexibility, risk sensitivity and new OpRisk capital charge. It provides a clear rationale for the revised accord and even covers those elements that are still excluded such as liquidity risk, reputational risk and legal risk. You are presented with a unique opportunity to learn about every possible consequence of the Basel Accord from global thought leaders and fellow practitioners such as: Scott D. Aguais, Sebastian Fritz, Erik Heitfeld and Dirk Tasche amongst many others. You will find yourself referring to this essential handbook on a daily basis and find its clear guidelines essential for rolling out and implementing all systems affected by the Accord's various regulations. Looking at the challenges banks face in complying with the new requirements of Basel II, this invaluable title quantifies the potential downstream impact of Basel II on the financial industry. In addition it assesses the degree of constraint the proposals are likely to impose on business and highlights the profound implications of Basel II on: * Rating agencies * Financial industry * Global and local competition * Costs and capital This book is essential reading for any financial practitioner affected by the Basel II accord, including chief financial officers, chief operating officers, chief investment officers, risk man