Financial Sector
Market Risk
Improve market risk controls and comply with complex new and existing regulations – to get that competitive advantage.
Challenges
How do you improve market controls whilst complying with increased complex regulations?
The focus in capital markets is shifting towards understanding and managing costs plus achieving an efficient capital allocation - while maintaining an effective risk management framework.
How can established market risk functions improve the timeliness and accuracy of asset valuations and risk measurements whilst meeting the increased demands of regulators and control functions?
Deloitte works together with financial institutions to improve their market risk management framework going from the impact on banks’ solvency due to changes in prices affecting the trading book (FRTB) to changes in interest rates in the banking book (IRRBB).
Here are few topics where Deloitte can provide support and assistance to design, build and enhance:
- Market and counterparty credit risk frameworks, governance and controls
- Internal models, IMA, IMM and A-CVA
- FRTB and SA-CCR implementation
- Market-consistent pricing and hedging of financial instruments incl. XVA
- Stress testing models & processes, incl. IRRBB
- Market risk Model Risk Management
- Quantitative modelling
- Capital optimization
Our offerings
We combine a practical approach and deep technical expertise on the following:
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Model & risk drivers assessment
Analyse pricing models & risk drivers for decision–making
Make better trading and investment decisions based on more accurate pricing models and analysis of risk drivers.
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Risk profile definition
Capital impact and risk profile
Understand how assets and portfolios impact capital requirements, profitability and the overall risk profile.
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Regulations’ impact assessment
Regulatory uncertainty - areas of impact
Assess the impact of regulatory reforms in order to guide business priorities.
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Strategic portfolio management
Business strategy & Capital model impact
Embed market and counterparty credit risk capital models to inform and enhance strategic portfolio management of market risk.
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Opportunities analysis
Manage risk and opportunity
Transform risk controls to generate intelligence and identify growth opportunities.
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Quantitative techniques for management strategy
Use of quantitative approach
Improve investment management strategies by using advanced quantitative techniques.
- Model & risk drivers assessment
- Risk profile definition
- Regulations’ impact assessment
- Strategic portfolio management
- Opportunities analysis
- Quantitative techniques for management strategy
Analyse pricing models & risk drivers for decision–making
Make better trading and investment decisions based on more accurate pricing models and analysis of risk drivers.
Capital impact and risk profile
Understand how assets and portfolios impact capital requirements, profitability and the overall risk profile.
Regulatory uncertainty - areas of impact
Assess the impact of regulatory reforms in order to guide business priorities.
Business strategy & Capital model impact
Embed market and counterparty credit risk capital models to inform and enhance strategic portfolio management of market risk.
Manage risk and opportunity
Transform risk controls to generate intelligence and identify growth opportunities.
Use of quantitative approach
Improve investment management strategies by using advanced quantitative techniques.
Why Deloitte?
Global market leader
Dedicated specialists
We work globally
Digital front runner
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