Stress Testing: Regulatory Considerations
Interactive

Stress Testing: Regulatory Considerations

Intuition Publishing
Updated Aug 26, 2020

Stress testing is a key requirement of Pillar 1 and 2 of the Basel II Accord. The BCBS has also set out recommendations to use stress testing for liquidity risk. Here we look at regulatory requirements in the area of stress testing and the use of system-wide stress testing by bank regulators.