Managing Capital Adequacy and Liquidity Ratios Under Regulatory Standards

Course Overview

Regulators no longer accept intent as evidence of control over capital adequacy and liquidity ratios. In finance the difference between a healthy position on liquidity ratios and a dangerous one is often a single assumption. Discussion is anchored to worked examples of the financial and banking practice discipline rather than to abstract argument. Content is organised around the decisions practitioners actually face in capital adequacy and liquidity ratios, not around theory headings. Improvement in the financial and banking practice capability stalls when it depends on one capable individual rather than a defined method. They acquire practical criteria for judging when liquidity ratios is working and when it is only appearing to. Comparative studies of capital adequacy and liquidity ratios across sectors find the same handful of failure points recurring. The programme works equally well for those formalising liquidity ratios for the first time and those improving an existing approach. The course ends by identifying what the participant will stop doing to make this part of financial and banking practice sustainable.