Market risk and FRTB implementation represent an institutional shift in how financial institutions measure control and govern trading book risk. It reflects the transition from traditional capital models to standardized and internally modeled approaches defined under the Fundamental Review of the Trading Book framework. This training program covers regulatory frameworks risk measurement models data architecture and governance structures associated with FRTB. It provides a general institutional perspective on how market risk management is restructured under modern regulatory standards.
Analyze the regulatory rationale and structural foundations of the FRTB framework.
Classify market risk factors and trading book exposures under FRTB standards.
Evaluate standardized and internal model approaches for market risk capital calculation.
Assess data governance and model validation structures required for FRTB compliance.
Explore the impact of FRTB implementation on capital management and trading strategy.
• Market risk analysts and managers.
• Trading book risk and capital management specialists.
• Regulatory reporting and Basel framework professionals.
• Quantitative risk modeling teams.
• Internal audit and risk governance staff.
• Market risk definition within trading book environments.
• Regulatory background of the Fundamental Review of the Trading Book.
• Objectives of FRTB in capital adequacy reform.
• Scope of instruments and positions under FRTB coverage.
• Institutional implications for trading activities.
• Risk factor taxonomy under FRTB standards.
• Trading book and banking book boundary definitions.
• Sensitivity based risk factor mapping logic.
• Treatment of curvature and default risk components.
• Position aggregation and portfolio structuring rules.
• Structure of the standardized approach capital calculation.
• Risk charge components and aggregation logic.
• Internal model approach eligibility requirements.
• Expected shortfall modeling framework structure.
• Model approval and supervisory review positioning.
• Data sourcing and quality control frameworks.
• Risk factor modellability assessment structures.
• Non-modellable risk factor treatment logic.
• Model validation and backtesting governance systems.
• Documentation and regulatory reporting structures.
• Capital allocation and optimization frameworks under FRTB.
• Trading strategy adjustment considerations.
• Implementation roadmap and organizational coordination structures.
• Technology platform integration requirements.
• Long term market risk governance under FRTB.
