London June Event

[Agenda]     [Speakers]     [Venue] 

Preparing for Basel III
24 June 2010 - Financial Times, One Southwark Bridge, London

Banks, particularly in Europe, await with trepidation the implementation of new rules on capital adequacy that could have a major impact on their business. The rules, known as Basel III, aim to increase the quantity and quality of capital held by banks and make balance sheets less complex. The calculation of banks' core Tier 1 capital ratios, a key measure of the quality of bank capital, will change substantially, as certain types of capital now considered core are removed and some assets are defined as riskier than they currently are.

The eventual outcome should be a more prudent capital structure, but the road to end-2012, when Basel III is likely to be implemented, could be rocky for a number of institutions that may have to scramble to restructure their capital and their assets or risk facing a plunge in their capital ratios the moment the new rules take effect. The changes, which could include large asset disposals and the increased issuance of contingent capital, could be more significant than any of the regulatory responses discussed so far in the wake of the financial crisis.

In the latest in a series of strategic forums looking at the key challenges facing the financial industry and capital markets, the Financial Times and Credit Suisse will gather senior regulators, bankers and investors for an exclusive, invitation-only half-day conference to discuss the impact of Basel III on an industry already reeling from the most dramatic transformation in its landscape in decades.