http://www.bis.org/list/bcbs/tid_30/index.rss Publications and updates by the Basel Committee on Banking Supervision (BCBS), including on topics related to the Basel II Framework and its implementation. Accounting and auditing en http://www.bis.org/publ/bcbs280.htm Abstract of "External Audits of Banks - final document", March 2014. The recent financial crisis not only revealed weaknesses in risk management, control and governance processes at banks, but also highlighted the need to improve the quality of external audits of banks. Given the central role banks play in contributing to financial stability, and therefore the need for market confidence in the quality of external audits of banks' financial statements, the Basel Committee is issuing this guidance on external audits of banks. External audits of banks - final document 2014-03-31T09:30:00Z The recent financial crisis not only revealed weaknesses in risk management, control and governance processes at banks, but also highlighted the need to improve the quality of external audits of banks. Given the central role banks play in contributing to financial stability, and therefore the need for market confidence in the quality of external audits of banks' financial statements, the Basel Committee is issuing this guidance on external audits of banks. This document describes supervisory expectations regarding audit quality and how that relates to the work of the external auditor and of the audit Committee in a bank. Implementation of the principles and the explanatory guidance is expected to improve the quality of bank audits and enhance the effectiveness of prudential supervision which is an important element of financial stability. External audits of banks - final document 2014-03-31T09:30:00Z BIS audit external auditors financial reporting accounting corporate governance audit committee audit firms risks of material mistatement professional scepticism rotation financial audit statutory audit PDF version http://www.bis.org/publ/bcbs280.pdf March 2014 Bank for International Settlements: BCBS Publications 280 http://www.bis.org/publ/bcbs244.htm Full text of "External Audits of Banks", March 2013 External audits of banks - consultative document 2013-03-21T16:44:00Z The Basel Committee on Banking Supervision and the International Organization of Securities Commissions (IOSCO) have today published a second consultative paper which represents a near-final proposal on margin requirements for non-centrally-cleared derivatives. External audits of banks - consultative document 2013-03-21T16:44:00Z BIS audit external auditors audit committee audit firms risks of material mistatement professional scepticism PDF version http://www.bis.org/publ/bcbs244.pdf March 2013 Bank for International Settlements: BCBS Publications 244 http://www.bis.org/publ/bcbs223.htm Abstract text of "The internal audit function in banks - final document", June 2012 The internal audit function in banks - final document 2012-06-28T11:06:00Z The Basel Committee on Banking Supervision is issuing this revised supervisory guidance for assessing the effectiveness of the internal audit function in banks, which forms part of the Committee's ongoing efforts to address bank supervisory issues and enhance supervision through guidance that encourages sound practices within banks. The document replaces the 2001 document Internal audit in banks and the supervisor's relationship with auditors. It takes into account developments in supervisory practices and in banking organisations and incorporates lessons drawn from the recent financial crisis. The internal audit function in banks - final document 2012-06-28T11:06:00Z BIS internal controls lines of defence audit committee governance supervisory expectations PDF version http://www.bis.org/publ/bcbs223.pdf June 2012 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs214.htm Abstract of "Application of own credit risk adjustments to derivatives - consultative document", December 2011. A deterioration in a bank's own creditworthiness can lead to an increase in the bank's common equity as a result of a reduction in the value of its liabilities. The Basel III rules seek to prevent this. Paragraph 75 of the Basel III rules requires a bank to "[d]erecognise in the calculation of Common Equity Tier 1, all unrealised gains and losses that have resulted from changes in the fair value of liabilities that are due to changes in the bank's own credit risk". The application of paragraph 75 to fair valued derivatives is not straightforward since their valuations depend on a range of factors other than the bank's own creditworthiness. The consultative paper proposes that debit valuation adjustments (DVAs) for over-the-counter derivatives and securities financing transactions should be fully deducted in the calculation of Common Equity Tier 1. It briefly reviews other options for applying the underlying concept of paragraph 75 to these products and the reasons these alternatives were not supported by the Basel Committee. Application of own credit risk adjustments to derivatives - consultative document 2011-12-21T10:00:00Z A deterioration in a bank's own creditworthiness can lead to an increase in the bank's common equity as a result of a reduction in the value of its liabilities. The Basel III rules seek to prevent this. Paragraph 75 of the Basel III rules requires a bank to "[d]erecognise in the calculation of Common Equity Tier 1, all unrealised gains and losses that have resulted from changes in the fair value of liabilities that are due to changes in the bank's own credit risk". The application of paragraph 75 to fair valued derivatives is not straightforward since their valuations depend on a range of factors other than the bank's own creditworthiness. The consultative paper proposes that debit valuation adjustments (DVAs) for over-the-counter derivatives and securities financing transactions should be fully deducted in the calculation of Common Equity Tier 1. It briefly reviews other options for applying the underlying concept of paragraph 75 to these products and the reasons these alternatives were not supported by the Basel Committee. Application of own credit risk adjustments to derivatives - consultative document 2011-12-21T10:00:00Z BIS Debit valuation adjustments DVA PDF version http://www.bis.org/publ/bcbs214.pdf December 2011 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs210.htm Abstract of "The internal audit function in banks - consultative document", December 2011 The internal audit function in banks - consultative document 2011-12-02T10:35:00Z The internal audit function in banks - consultative document 2011-12-02T10:35:00Z BIS internal controls supervisory assessment lines of defence audit committee PDF version http://www.bis.org/publ/bcbs210.pdf December 2011 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs161.htm Full text of the "Guiding principles for the replacement of IAS 39" by the Basel Committee on Banking Supervision, August 2009. Guiding principles for the replacement of IAS 39 2009-08-27T09:00:00Z Guiding principles for the replacement of IAS 39 2009-08-27T09:00:00Z BIS IAS39 Financial Stability financial reporting accounting financial instruments procyclicality IASB auditing valuations financial crisis G20 fair value measurement disclosures provisioning PDF version http://www.bis.org/publ/bcbs161.pdf August 2009 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs153.htm Abstract of 'Supervisory guidance for assessing banks' financial instrument fair value practices - final paper', April 2009 Supervisory guidance for assessing banks' financial instrument fair value practices - final paper 2009-04-14T22:00:00Z Supervisory guidance for assessing banks' financial instrument fair value practices - final paper 2009-04-14T22:00:00Z BIS fair value valuations PDF version http://www.bis.org/publ/bcbs153.pdf April 2009 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs146.htm Abstract of 'External audit quality and banking supervision', December 2008 External audit quality and banking supervision 2008-12-01T23:00:00Z External audit quality and banking supervision 2008-12-01T23:00:00Z BIS external auditors accounting auditing PDF version http://www.bis.org/publ/bcbs146.pdf December 2008 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs145.htm Abstract of 'Supervisory guidance for assessing banks' financial instrument fair value practices - consultative paper', November 2008 Supervisory guidance for assessing banks' financial instrument fair value practices - consultative paper 2008-11-27T23:00:00Z Supervisory guidance for assessing banks' financial instrument fair value practices - consultative paper 2008-11-27T23:00:00Z BIS fair value valuations PDF version http://www.bis.org/publ/bcbs145.pdf November 2008 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs137.htm Full text of 'Fair value measurement and modelling: An assessment of challenges and lessons learned from the market stress', June 2008. Fair value measurement and modelling: An assessment of challenges and lessons learned from the market stress 2008-06-11T22:00:00Z Fair value measurement and modelling: An assessment of challenges and lessons learned from the market stress 2008-06-11T22:00:00Z BIS fair value valuations market stress PDF version http://www.bis.org/publ/bcbs137.pdf June 2008 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs127.htm Introduction to 'Supervisory guidance on the use of the fair value option for financial instruments by banks - final document' Supervisory guidance on the use of the fair value option for financial instruments by banks - final document 2006-06-13T22:00:00Z Supervisory guidance on the use of the fair value option for financial instruments by banks - final document 2006-06-13T22:00:00Z BIS PDF version http://www.bis.org/publ/bcbs127.pdf June 2006 Bank for International Settlements: BCBS Publications 127 http://www.bis.org/publ/bcbs126.htm Abstract of "Sound credit risk assessment and valuation for loans - final document", June 2006 Sound credit risk assessment and valuation for loans - final document 2006-06-12T22:00:00Z Sound credit risk assessment and valuation for loans - final document 2006-06-12T22:00:00Z BIS supervisory expectations evaluation PDF version http://www.bis.org/publ/bcbs126.pdf June 2006 Bank for International Settlements: BCBS Publications 126 http://www.bis.org/publ/bcbspiob01.htm First Public Report of the Public Interest Oversight Board - May 2006 For information only: First Public Report of the Public Interest Oversight Board 2006-05-16T22:00:00Z For information only: First Public Report of the Public Interest Oversight Board 2006-05-16T22:00:00Z BIS PDF version http://www.bis.org/publ/bcbspiob01.pdf May 2006 Bank for International Settlements: BCBS Publications 124 http://www.bis.org/publ/bcbs114.htm Abstract of 'Supervisory guidance on the use of the fair value option by banks under International Financial Reporting Standards - consultative document' (Basel Committee Publications No. 114 - July 2005) Supervisory guidance on the use of the fair value option by banks under International Financial Reporting Standards - consultative document 2005-07-28T22:00:00Z Supervisory guidance on the use of the fair value option by banks under International Financial Reporting Standards - consultative document 2005-07-28T22:00:00Z BIS PDF version http://www.bis.org/publ/bcbs114.pdf July 2005 Bank for International Settlements: BCBS Publications http://www.bis.org/publ/bcbs113.htm Abstract of' "Compliance and the compliance function in banks - final document" (Basel Committee Publications No. 113 - April 2005) Compliance and the compliance function in banks - final document 2005-04-28T22:00:00Z Compliance and the compliance function in banks - final document 2005-04-28T22:00:00Z BIS PDF version http://www.bis.org/publ/bcbs113.pdf April 2005 Bank for International Settlements: BCBS Publications