Wednesday, December 13, 2017 | 3:30pm-5:00pm | Room 335, HSBC Business School Building

Abstract

OCC promotes a safe, sound, and stable banking and financial system and has established frameworks and programs for the supervision of its largest and most complex financial institutions to achieve its supervisory objectives, incorporating the lessons learned from the 2007 to 2009 financial crisis and in the period since. We summarize the range of modeling practices and common model issues and challenge in stress testing and capital planning practices, which is part of supervisory frameworks and programs OCC annually assesses whether financial firms with $50 billion or more in total consolidated assets are sufficiently capitalized to absorb losses during stressful conditions. We also shed light on the regulatory expectation and risk management framework.