Basel II LIVE Teleconference
Overview:The new Basel II rules took effect last January 1, 2008. The aim of these rules is to set up a criterion that will serve as a guideline in enacting regulations that will protect banks against financial and operational risks and, at the same time, avoid the collapse of their business. Compliance with these rules will result in the segregation of the secutirized assets from calculation of risk weighted assets in case the credit risk connected to the assets are handed over to third parties. The transferring bank may still continue to service the assets but such bank and its creditors will not be able to get hold of these. Banks, especially the smaller ones are encouraged to take note of this since they are the first ones who will benefit from it.
The Knowledge Congress is assembling a panel of experts who will share their opinions in a two-hour teleconference and webinar. They will discuss the substantive provisions of these rules as well their impact on the banking business. A live interaction with the audience in a question and answer format is also included in this event.
<strong id="ep-name-of-speaker">Mr. Mark E. Van Der Weide, Assistant General Counsel,</strong>
<em id="ep-speaker-firm">Federal Reserve Board</em>
<strong id="ep-name-of-speaker">Teresa A. Scott, Counsel (Banking & Finance), Regulations and Legislation Division</strong>
<em id="ep-speaker-firm">Office of Thrift Supervision </em>
- How Basel II Standardized will improve competitive equity between small and regional banks VS
large banks on Basel II Advanced
- Treatment of various exposures under Basel II Standardized, including sovereigns, corporates,
banks, public sector entities, residential mortgages, regulatory retail, equities, and securitizations
- The pros and cons of the external ratings approach to regulatory capital enshrined in Basel II
- The expanded credit risk mitigation benefits of collateral and guarantees under Basel II
- The treatment of operational risk under Basel II Standardized
- New Disclosure requirements under Basel II Standardized
<strong id="ep-name-of-speaker">Michael E. Bleier, Partner</strong>
<em id="ep-speaker-firm">Reed Smith LLP </em>
- Timeline Regarding Basel II Capital Rules
- History of Operational Risk in Basel II
- Application of Operational Risk Requirements under Standardized Approach and Under Advanced
- Implications of Operational Risk Capital Charge for Banking Organizations
<strong id="ep-name-of-speaker">Michael L. Stevens, SVP & Director of Regulatory Affairs</strong>
<em id="ep-speaker-firm">Conference of State Bank Supervisors (CSBS)</em>
- The standardized approach is critically important from some institutions. Institution profile.
Impact from Basel II.
- How does the standardized approach address or not address problems in the current market?
- Reporting & Implementation issues.
- What will be the key points of interest to regulators?
- Top 5 items banks should address now.
<strong id="ep-name-of-speaker">Jeffrey A. Brown, Managing Director</strong>
<em id="ep-speaker-firm">Promontory Financial Group </em>
- So far, the US bank regulatory agencies have only announced plans to issue a proposed rule
offering a Standardized Approach.
- However, circumstances have changed since the formulation of those plans, and there is now likely
to be less pressure to move forward on a US Standardized Approach.
- The primary motivation for offering a Standardized Approach in the US was concern that Basel II
would confer an unfair competitive advantage on larger banks.
- That view is largely based on considerations of only Pillar 1 minimum capital requirement
calculations and overlooks Pillar II determinations that will lead to assessments of actual capital
adequacy—narrowing the advantage.
- That view also ignores the significantly increased examination scrutiny and higher expectations for
governance and control systems for Advanced Banks—further narrowing the advantage.
- Finally, the upshot of the events of the last nine months is sure to be a significant shift in emphasis
by US regulators toward overall capital adequacy for large banks to address things not addressed
in Pillar 1—even further narrowing the advantage.
- As a corollary, given that environment, regulators and policy makers are not likely to look favorably
on anything that might be perceived as leading to potential lower capital for smaller banks.
Who Should Attend:
This teleconference will be of particular benefit to those involved in
- The implementing of Basel II and Bankers.
- Risk managers in financial institutions
- Rating agency analysts
- Financial controllers in large institutions
- Credit risk analysts
- Portfolio analysts / managers
- Financial, Operational, Business Application and External Auditors
Mark E. Van Der Weide is an assistant general counsel in the Legal Division of the Federal Reserve Board in Washington, D.C. Mr. Van Der Weide’s primary responsibilities at the Federal Reserve Board include drafting rules and interpretive guidance relating to the Board’s capital adequacy guidelines (including Basel II-related rulemakings), Regulation Y (particularly permissible activities and investments for bank holding companies and financial holding companies, control, and tying), Regulation W (transactions between banks and their affiliates), and Regulation O (extensions of credit by banks to their insiders). Mr. Van Der Weide also has been involved in the review of proposals of bank holding companies to acquire banks and nonbanking companies and proposals by private equity funds and sovereign wealth funds to make investments in banks and bank holding companies.
Prior to joining the Federal Reserve Board in 1998, Mr. Van Der Weide worked as an associate in the Washington, D.C., office of Cleary, Gottlieb, Steen & Hamilton. At Cleary, Mr. Van Der Weide drafted and negotiated documentation for securities offerings, structured finance transactions, separate investment accounts, joint ventures, and mergers and acquisitions.
Mr. Van Der Weide received a J.D. degree from Yale Law School in 1995 and a B.A. degree in history and philosophy from the University of Iowa in 1992.
Mr. Van Der Weide has published articles on corporate, banking, and administrative law in the Notre Dame Law Review, the Boston College Law Review, and The Delaware Journal of Corporate Law.
Mark E. Van Der Weide is an assistant general counsel in the Legal Division of the Federal Reserve Board in …
Teresa A. Scott is a Senior Analyst, Capital Policy Division for the Office of Thrift Supervision. She has worked extensively on rulemakings and guidance pertaining to risk transference (recourse) for federal banking organizations. Over the past two years she has served as the primary OTS staff for development of domestic capital modernization, also known as Basel 1I Standardized Approach. Teresa earned a J.D. from the Howard University School of Law, a M.S. in Finance from the Carey School of Business at the Johns Hopkins University, and a B.A. from the University of Tennessee at Knoxville.
Teresa A. Scott is a Senior Analyst, Capital Policy Division for the Office of Thrift Supervision. She has worked extensively …
Michael is a member of the Financial Industry Group and a member of Financial Services Regulatory Group. Michael joined Reed Smith after serving for nearly 14 years as General Counsel for Mellon Financial Corporation and Mellon Bank, NA, and as manager of legal affairs. Prior to joining Mellon in 1982, he was in the Legal Division of the Federal Reserve Board in Washington, DC for 11 years; when he left the Federal Reserve he was Assistant General Counsel, responsible for the bank holding company area. At Mellon, Michael was actively involved in its expansion, both in the banking and nonbanking areas and in its dealings with the federal and state bank regulatory authorities, as well as with the Congress and the state legislatures. He played a key role in Mellon's growth and transformation into primarily a fee-based business. He was intimately involved in Mellon's Pennsylvania statewide expansion, the creation and implementation of Mellon's good bank/bad bank transaction, the transformative and groundbreaking Boston Company and Dreyfus acquisitions, and in dealing with the federal regulators and Congress on the Basel II risk-based capital rules.
At Reed Smith he has counseled General Counsel clients, filed expansion applications with the Federal Reserve, the Comptroller of the Currency and the FDIC, and also also advised financial institution clients on an array of regulatory matters.
2007 - Reed Smith
1982 - Mellon Financial Corporation and Mellon Bank, N.A. – Since 1992, General Counsel and Executive Vice President. Responsible for the day-to-day operations of Mellon’s Legal Department, which employed a staff of 70 lawyers at 12 locations worldwide
1971 - Board of Governors of the Federal Reserve System (Washington, D.C.) – Assistant General Counsel
Responsible for the bank holding company areas in the General Counsel’s office
Michael is a member of the Financial Industry Group and a member of Financial Services Regulatory Group. Michael joined Reed …
Mike serves as the Senior Vice President for Regulatory Policy at the Conference of State Bank Supervisors (CSBS). In this capacity, Mike represents the state banking system in the development of federal regulatory policy in the areas of consumer protection and safety and soundness. He is also responsible for any issues related to the coordination and cooperation between state and federal regulators. Mike serves as the staff director for the Regulatory Committee, State Federal Working Group, and the FFIEC’s State Liaison Committee. Prior to this assignment, Mike worked in all facets of CSBS’s Professional Development Division. He is a frequent instructor and speaker on bank examination, bank financial analysis and regulatory issues. Mike serves on the faculty of the Graduate School of Banking at Colorado, the Texas Tech Bank School and the Graduate School of Bank Investments and Financial Management. Prior to joining CSBS in 1999, Mike was a bank examiner for the Iowa Division of Banking for 11 years.
Mike is a graduate of the University of Nebraska at Omaha. He lives in Ashburn, Virginia with his wife, Becki, and two children.
Mike serves as the Senior Vice President for Regulatory Policy at the Conference of State Bank Supervisors (CSBS). In this …
Mr. Brown is a Managing Director at Promontory Financial Group, specializing in Basel II capital standards, credit scoring, and risk management. He has over fifteen years experience working with the Office of the Comptroller of the Currency (OCC).
Prior to joining Promontory, Mr. Brown was the Senior Deputy Comptroller for International and Economic Affairs at the OCC. There he was responsible for providing economic expertise, fostering relationships with foreign supervisors, and preparing the agency to examine quantitative aspects of regulatory capital determination under forthcoming Basel II standards. As a member of the OCC’s Executive Committee, he contributed to the strategic direction and administrative policy of the agency.
Earlier, Mr. Brown served as Director of the OCC’s Risk Analysis Division, where he was responsible for examining banks’ use of credit scoring models and training other examiners. He was a member of the Basel II Steering Committee, responsible for advice on policy positions and the development of implementation plans.
Mr. Brown has contributed to numerous publications and conferences related to credit rating and risk management. He holds a B.A. in Political Science and Economics from the University of Iowa and a Ph.D. in Economics from Brown University.
Mr. Brown is a Managing Director at Promontory Financial Group, specializing in Basel II capital standards, credit scoring, and risk …
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Method of Presentation:
On-demand Webcast (CLE)
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Federal Reserve Board
Office of Thrift Supervision