FRM: Basel II Overview

Quick overview of Basel II framework that sets capital requirements for banks. Three pillars contains the rules & support (supervisor review, market discipline) that say how much eligible regulatory capital must be held against risk-weighted assets. For more financial risk videos, visit our website! www.bionicturtle.com

[@Beby612]

David, You have done a great job summarizing the the Basel II structure in less than 10 minutes. Thank you for educating.

[@rachelvirienna]

Even though I'm writing a paper about Basel III, I've watched this video in its entirety at least 5 times. So helpful and straightforward. Thank you!

[@Indianatheart]

An excellent video..cant stop watching it over an over again..simplified understanding !! Keep it up David.

[@SuicidalSP]

You may well have saved my degree. Thank you kind sir.

[@bionicturtle]

@dajieda0 in general regulatory capital covers UL (although with conditions that EL is already provisioned). EL is generally priced into loans (cost of doing business). Both reg and econ capital cover UL, the key difference is that EC is internal and various to difference companies and incorporating a shareholder perspective; but reg capital is externally mandated and ergo somewhat common (every firm has its own EC, but they all look to a similar reg capital), thanks, David

[@bionicturtle]

Thank you Ravi, highly appreciated!

[@rishford]

Very cool! Now I have to find a way to watch this at work...

[@bionicturtle]

@michelias2004 Thanks for liking it. For this, I used Adobe Illustrator (time consuming)

[@andr3111]

Fantastic video, great for exam revision !!

[@gmahtolia1]

Informative. It is quite un-easy to capture BASEL in 10 mins...you did a good job.

[@ansaefnawe]

Great video. Thanks a lot David. I am researching Basel II and III at the beginning level, so would you mind providing me your overview map?

[@dkumar50]

This is a very good explanation - Thank you

[@antonette7771]

thanks for posting this video its really helpful !!

[@prodigysingh1]

Great summary!

[@supercals]

Really insightful ... ... keep posting

[@JimmyBoY555555]

Really useful movie, thx bro! :D

[@way2anshul]

Hi David ..Thanks for the wonderful video..I have a slight doubt regarding pillar 1.
Do pillar 1 provides provision for maintaining a Regulatory or economic capital or both.If it provides rules to maintain only regulatory capital then what about the economic capital for a bank? Kindly help

[@naufalshiddiqmaulana8114]

Indeed, there is a classification based on bank criteria, so that Basel 2 risk management is adjusted for each country?

[@ABC2007YT]

Thank you very much.

[@The100dking]

Thank U

[@shakifur]

Very helpful video !!!! Thanks alot :)

[@bionicturtle]

@rachelvirienna Thank you for such nice feedback, I am delighted in can be helpful

[@MinhMinh-zh8uf]

Thank you so much!

[@bionicturtle]

Thank you for watching!

[@cholasmotas]

great video. Where can I get a copy of your pillar map?

[@etrefemme15]

Very good overview

[@ravishankar1972]

Almost all videos under this bionicturtle feed are really good, it is really worth watching.
Thank you very much for the great explanation David. When you land in India, please let us know, I will give you a bell.
Thank you

[@shaunikko]

AWESOME

[@xiao6322]

Good

[@fouedhamouda7356]

Please do you have any references (books, articles , text....) for all these informations?

[@bionicturtle]

We publish FRM materials on our website (www.bionicturtle.com). We also have a very active FRM forum with a great deal of information on these concepts (www.bionicturtle.com/forum/). I hope this helps!

[@Bombaman5632]

Why 8% though?

[@abhishekchadha83]

Thanks a lot would like to add you on linkdin..can you help me with your exact name

[@Lordsoflife]

What is weighted ead

[@bionicturtle]

exposure at default (EAD)

[@bionicturtle]

Yes, sure thanks, my name is David Harper ... email is davidh[at]bionicturtle[dot]com