Sometimes it seems as if IFRS 9 is only a game for the biggest financial institutions (FIs) using IRB. Most of the talk is about several-billion-euro projects, developing the most sophisticated risk modelling techniques in projects requiring thousands of man-days. But what about banks using Standard Approach? Banks that mostly have neither this level of resources, nor the detailed analytics for such highly elaborate methods. Is there hope for them? The answer is, hopefully, YES.
Online Business Technologies (www.moonsol.com) and the Center for Financial Professionals (www.cefpro.com) have launched a joint survey to screen the IFRS 9 impairment approach of banks using Standard Approach, and identify widely used simplification strategies that are allowed by the standard.