Risk Management - Banking Regulatory Environment, Governance and Organisation

Following a top-down approach, deriving from the international standards from the Basel Committee on Banking Supervision (BCBS), to the European Banking Authority guidelines (EBA) and the Luxembourg specific banking regulation, the course highlights how risk management processes are crucial in the banking industry and provides a detailed overview of Risk Appetite Statements and their pragmatic consideration into risk tactics and risk reporting towards the Board of Directors and Executive Management.
The course covers the various responsibilities of the entire Non-Executive/ Executive Management spectrum and commercial, support and control functions across the 3 Lines model. The course also considers the recent trends and evolutions of business and operating models within the banking industry to run their key projects, manage their ESG risks or decide to outsource some of their activities to third parties.
Practical exercises are integrated to enable participants to concretely practice some of the analytical tools disclosed.

By the end of this course, participants will be able to :

• Develop participants’ understanding of sound corporate governance in the banking sector
• Explore proper internal organisation within banking institutions
• Strengthen participants’ knowledge of risk management in banks
• Practically apply governance guiding principles within a bank’s daily operations
• Implement risk management processes in a real banking environment

• International governance guiding principles and Luxembourg specific regulatory framework for banks
• Defining and monitoring alignment with the Risk Appetite towards sound risk management processes
• Roles and responsibilities of Non-Executive/ Executive Management and commercial, support and control functions across the 3 Lines model
• Governance in action - practical exercises
• Trends - evolution of business and operating models in the banking industry

This module is part of the Risk Management Certification.