Course description

Module 1: Banking Activities and Governance

• The activities of banks (products, services, impact on the balance sheet)
• Developments in the governance of banks (Governance, suitability, stakeholders, 3 lines of defence, IT, Risk, Compliance)
• Suitability assessment
• From CFRO to CRO
• Effective cooperation between the key functions
• Towards a new risk paradigm and trends in the 3 lines of defense model
• Bankers’ oath
• Corporate culture and behaviour
• Integrity (customer, market, employee and ethical business operations)
• Independent in mind and Dilemma management
• Duty of Care and Value for Clients

Module 2: Supervision and Policy

• International Standards Boards including EBA
• EU Banking Regulations including the Capital Requirements Directive and the Capital Requirements Regulations
• The Dutch Financial Supervision Act
• Prudential Supervision on banks DNB and ECB
• Integrity Supervision on banks DNB
• Conduct-of-business supervision on banks AFM
• EU Sustainability Regulations
• EU  Digitalization Directive
• Future of banks – scenarios

Module 3: Financial Risk Management

• Risk management cycle
• Risk appetite
• Relationship risk and return
• Basel Accords
• New qualitative requirements on regulatory capital, introduction of additional capital buffers
• Basel IV, future adjustments to capital requirements for credit risk, market risk and operational risk
• The new Liquidity Cover(age Ratio and Net Stable Funding Ratio)
• Internal Capital Adequacy Assessment Process (ICAAP) and Internal Liquidity Adequacy
• Assessment Process (ILAAP)
• Steering of the balance sheet

Module 4: Financial Markets

• Use of derivatives: hedging, arbitration, (fair value), speculation, otc versus listed; margin, clearing
• The lessons learned from scandals such as those relating to Barings/ Nick Leeson, Enron, WorldOnline, DSB Bank, Lehman Brothers, LIBOR, Vestia.

Module 5: Fighting Financial and Economic Crime

• The role of banks in the fight against financial and economic crime, tax integrity and enforcement of sanctions
• Tax arrangements evading tax
• Tax customer integrity policy
• CDD and KYC
• Sanctions Screening and Transaction Monitoring
• National risk analyses of money laundering
• Current events in the field of sanctions law and the role of banks
• Lessons learned from the Houston and Guardian investigations