| (3) |
The conduct of the business of a bank entails the ongoing management of risks, which may arise from the bank's on-balance sheet or off-balance sheet activities and which may include, among others, the following types of risk: |
| (e) |
country risk and transfer risk; |
| (f) |
credit risk, and in particular risks arising from impaired or problem assets and the bank's related impairments, provisions or reserves; |
| (h) |
detection and prevention of criminal activities; |
| (i) |
equity risk arising from positions held in the bank's banking book; |
| (j) |
interest-rate risk in the banking book; |
| (I) |
market risk (position risk) in respect of positions held in the bank's trading book; |
| (o) |
risk arising from exposure to a related person; |
| (p) |
risk arising from the outsourcing of material tasks or functions; |
| (q) |
risk arising from all relevant payment and settlement services, processes or systems; |
| (r) |
risk relating to procyclicality; |
| (s) |
risks arising from or related to inappropriate compensation practices for directors and executive officers; |
| (t) |
risks related to securitisation or resecuritisation structures; |
| (u) |
risks related to stress testing; |
| (v) |
risks related to the inappropriate valuation of instruments, assets or liabilities; |
| (aa) |
any other risk regarded as material by the bank. |
[Regulation 39(3)(j) substituted by section 10(a) of Notice No. 1427, GG44048, dated 31 December 2020 - effective 1 January 2021]
Appropriation Act, 2011
