Operational Risk in Financial Service Providers and the Proposed Basel Capital Accord: An Overview

32 Pages Posted: 2 Apr 2003  

Jeffry M. Netter

University of Georgia - Department of Banking and Finance; University of Georgia Law School

Annette B. Poulsen

University of Georgia - Department of Banking and Finance

Date Written: January 1, 2003

Abstract

The 1988 Basel Accord and the proposed revisions to the Accord represent some of the most significant international regulations impacting the financial decisions of firms, in this case, financial services firms, in recent years. The revisions to the Accord incorporate operational risk into the capital, supervisory and market requirements. In our review of the issues in this area, we provide insight into the workings of an important international regulation. We also present suggestions for further research in this area that will become feasible when data on the impact of the new regulations become available after the proposed implementation in 2006.

Keywords: Operational risk management, Basel Accord, Capital requirements

JEL Classification: G28, G38

Suggested Citation

Netter, Jeffry M. and Poulsen, Annette B., Operational Risk in Financial Service Providers and the Proposed Basel Capital Accord: An Overview (January 1, 2003). Available at SSRN: https://ssrn.com/abstract=369581 or http://dx.doi.org/10.2139/ssrn.369581

Jeffry M. Netter (Contact Author)

University of Georgia - Department of Banking and Finance ( email )

Terry College of Business
Athens, GA 30602-6253
United States
706-542-3654 (Phone)

HOME PAGE: http://www.terry.uga.edu/finance/facultyprofiles/n

University of Georgia Law School

225 Herty Drive
Athens, GA 30602
United States

Annette B. Poulsen

University of Georgia - Department of Banking and Finance ( email )

Terry College of Business
Athens, GA 30602-6253
United States
706-542-3645 (Phone)

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