Introduction to Interest Rate Risk in the Banking Book (IRRBB)

Introduction

All regulated financial services firms are required to assess the materiality of their interest-rate risk, not just in their trading books but in the wider balance sheet (the so-called ‘banking book’). It’s fair to say that all banks, building societies and credit unions run material risk as do investment banks and some investment firms. Failure to recognise and effectively manage this risk can pose an existential threat to a firm’s finances, as Silicon Valley Bank’s failure amply demonstrated in 2023.

In this webinar, you will learn how to recognise and assess IRRBB. You will be better able to support your firm’s ICAAP or ICARA process and thereby ensure adequate risk management and regulatory compliance.

What You Will Learn

This webinar will cover the following:

• Sources of interest-rate risk
• How to identify risks
• What happened to Silicon Valley Bank
• Regulatory expectations