FRTB compliance: Options for banks with small trading books in the United Arab Emirates
The Fundamental Review of the Trading Book (FRTB) is a flagship market risk regulation that is a game changer for financial institutions. For FRTB compliance, banks in the United Arab Emirates (UAE) have a choice between the Internal Model Approach (IMA) and the Standardised Approach (SA). Within the SA, banks can use the advanced approach based on risk sensitivities or a simplified standardised approach (SSA). The decision for FRTB compliance should be thought through carefully and banks...
