{"id":13988,"date":"2020-02-28T13:12:58","date_gmt":"2020-02-28T21:12:58","guid":{"rendered":"http:\/\/occupysf.net\/?p=13988"},"modified":"2020-02-28T13:13:00","modified_gmt":"2020-02-28T21:13:00","slug":"basel-iii","status":"publish","type":"post","link":"https:\/\/occupysf.net\/index.php\/2020\/02\/28\/basel-iii\/","title":{"rendered":"Basel III"},"content":{"rendered":"\n<p>From Wikipedia, the free encyclopedia<\/p>\n\n\n\n<table class=\"wp-block-table\"><tbody><tr><th>Bank regulation and standards<\/th><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Bank_for_International_Settlements\">Bank for International Settlements<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_Accords\">Basel Accords<\/a>&nbsp;(<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_I\">Basel I<\/a>,&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_II\">Basel II<\/a>,&nbsp;<a>Basel III<\/a>,&nbsp;<em><a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_IV\">Basel IV<\/a><\/em>)<a href=\"https:\/\/en.wikipedia.org\/wiki\/Financial_Stability_Board\">Financial Stability Board<\/a><\/td><\/tr><tr><th>Background<\/th><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Banking\">Banking<\/a>&nbsp;(<a href=\"https:\/\/en.wikipedia.org\/wiki\/Bank_regulation\">Regulation<\/a>)<a href=\"https:\/\/en.wikipedia.org\/wiki\/Monetary_policy\">Monetary policy<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Central_bank\">Central bank<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Risk\">Risk<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Risk_management\">Risk management<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Regulatory_capital\">Regulatory capital<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Tier_1_capital\">Tier 1<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Tier_2_capital\">Tier 2<\/a><\/td><\/tr><tr><th>Pillar 1: Regulatory capital<\/th><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Credit_risk\">Credit risk<\/a>&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Standardized_approach_(credit_risk)\">Standardized<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Internal_Ratings-Based_Approach_(Credit_Risk)\">IRB Approach<\/a>&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Foundation_IRB\">F-IRB<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Advanced_IRB\">A-IRB<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Probability_of_default\">PD<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Loss_given_default\">LGD<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Credit_conversion_factor\">CCF<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Exposure_at_default\">EAD<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Operational_risk\">Operational risk<\/a>&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basic_indicator_approach\">Basic<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Standardized_approach_(operational_risk)\">Standardized<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Advanced_measurement_approach\">AMA<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Market_risk\">Market risk<\/a>&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Bond_duration\">Duration<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Value_at_risk\">Value at risk<\/a><\/td><\/tr><tr><th>Pillar 2: Supervisory review<\/th><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Economic_capital\">Economic capital<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Liquidity_risk\">Liquidity risk<\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Legal_risk\">Legal risk<\/a><\/td><\/tr><tr><th>Pillar 3: Market disclosure<\/th><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Corporation#Financial_disclosure\">Disclosure<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Portal:Business_and_economics\">Business and Economics Portal<\/a><\/td><\/tr><tr><td><a href=\"https:\/\/en.wikipedia.org\/wiki\/Template:Basel_II\"><abbr title=\"View this template\">v<\/abbr><\/a><a href=\"https:\/\/en.wikipedia.org\/wiki\/Template_talk:Basel_II\"><abbr title=\"Discuss this template\">t<\/abbr><\/a><a href=\"https:\/\/en.wikipedia.org\/w\/index.php?title=Template:Basel_II&amp;action=edit\"><abbr title=\"Edit this template\">e<\/abbr><\/a><\/td><\/tr><\/tbody><\/table>\n\n\n\n<p><strong>Basel III<\/strong>&nbsp;(or the&nbsp;<strong>Third Basel Accord<\/strong>&nbsp;or&nbsp;<strong>Basel Standards<\/strong>) is a global, voluntary regulatory framework on bank&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Capital_adequacy\">capital adequacy<\/a>,&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Bank_stress_tests\">stress testing<\/a>, and&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Market_liquidity\">market liquidity<\/a>&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Liquidity_risk\">risk<\/a>. This third installment of the&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_Accords\">Basel Accords<\/a>&nbsp;(<em>see&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_I\">Basel I<\/a>,&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_II\">Basel II<\/a><\/em>) was developed in response to the deficiencies in&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Financial_regulation\">financial regulation<\/a>&nbsp;revealed by the&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Financial_crisis_of_2007%E2%80%9308\">financial crisis of 2007\u201308<\/a>. It is intended to strengthen bank&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Capital_requirement\">capital requirements<\/a>&nbsp;by increasing bank liquidity and decreasing bank&nbsp;<a href=\"https:\/\/en.wikipedia.org\/wiki\/Leverage_(finance)\">leverage<\/a>.<\/p>\n\n\n\n<p>Basel III was agreed upon by the members of the\u00a0<a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_Committee_on_Banking_Supervision\">Basel Committee on Banking Supervision<\/a>\u00a0in November 2010, and was scheduled to be introduced from 2013 until 2015; however, implementation was extended repeatedly to 31 March 2019 and then again until 1 January 2022.<sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_III#cite_note-1\">[1]<\/a><\/sup><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_III#cite_note-2\">[2]<\/a><\/sup><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_III#cite_note-3\">[3]<\/a><\/sup><\/p>\n\n\n\n<p>More at:  <a href=\"https:\/\/en.wikipedia.org\/wiki\/Basel_III\">https:\/\/en.wikipedia.org\/wiki\/Basel_III<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>From Wikipedia, the free encyclopedia Bank regulation and standards Bank for International SettlementsBasel Accords&nbsp;(Basel I,&nbsp;Basel II,&nbsp;Basel III,&nbsp;Basel IV)Financial Stability Board Background Banking&nbsp;(Regulation)Monetary policyCentral bankRiskRisk managementRegulatory capitalTier 1Tier 2 Pillar 1: Regulatory capital Credit risk&nbsp;StandardizedIRB Approach&nbsp;F-IRBA-IRBPDLGDCCFEADOperational risk&nbsp;BasicStandardizedAMAMarket risk&nbsp;DurationValue at risk Pillar 2: Supervisory review Economic capitalLiquidity riskLegal risk Pillar 3: Market&#8230; <a class=\"continue-reading-link\" href=\"https:\/\/occupysf.net\/index.php\/2020\/02\/28\/basel-iii\/\"> Continue reading <span class=\"meta-nav\">&rarr; <\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/posts\/13988"}],"collection":[{"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/comments?post=13988"}],"version-history":[{"count":1,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/posts\/13988\/revisions"}],"predecessor-version":[{"id":13989,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/posts\/13988\/revisions\/13989"}],"wp:attachment":[{"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/media?parent=13988"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/categories?post=13988"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/occupysf.net\/index.php\/wp-json\/wp\/v2\/tags?post=13988"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}