During the peak of the financial crisis many banks struggled to pull together information for regulators. There were numerous examples of banks providing inaccurate information to them. Uncertainty on the true financial position of banks made it that much harder to put together a rescue.
Basel III introduces new standards in aggregating risk data. The principles require risk systems to be accurate, comprehensive, real time, flexible, forward looking and clear, and able to rapidly adapt while having the highest level of control. The question is how to build the systems and processes that can achieve these objectives? This white paper reviews previous offerings, which have met with limited success, and what IT solutions are now available to match Basel III requirements.