In March 2000, the Joint Forum set up a working group to compare the core principles issued by the Basel Committee, the IAIS and IOSCO by identifying common principles and understanding differences where they arise. This report is based on the findings of the Group.
The Joint Forum hopes that this analysis will help those assessing jurisdictions against the core principles gain a familiarity with, and understanding of, the core principles of all sectors and thus become more effective in their work. While each sector worked independently in drafting its core principles, there was a great deal of similarity in the approaches taken; in all cases, the process involved extensive and broad consultations within the sector.
In both structure and content, the core principles reflect characteristics of the respective sector and the nature of the supervised financial institutions, intermediaries and markets. The Joint Forum has sought to be comprehensive and balanced, drawing on intrinsic characteristics where necessary to explain differences. It has emphatically avoided making any judgments as to whether the core principles are right or wrong, recognising that each is designed to meet sector-specific needs.
Conclusions and observations made: