BCB Publishes Circular on Pillar 3 Disclosure Requirements
BCB issued Circular No. 3.930 to broaden the scope and standardize the qualitative and quantitative information disclosed by financial institutions on calculation of capital, compliance with prudential limits, and management of risk. These disclosures will form part of the "Pillar 3 Report." For access to the information to be as simple and broad as possible, the disclosures should be published in a standardized open format to enable automated data capture, thus facilitating the use of information by investors, researchers, and other stakeholders. The circular takes effect from January 01, 2020.
The new rules are based on two BCBS-published documents—"Revised Pillar 3 disclosure requirements” (published in 2015) and “Pillar 3 disclosure requirements – consolidated and enhanced framework” (published in 2017). In addition to adding new disclosure requirements in relation to the current transparency obligations, the circular consolidates requirements that are currently dispersed in other regulations. The disclosure requirements established in the Pillar 3 Report are organized into tables with fixed format for quantitative information and tables with flexible format for qualitative information.
Related Links (in Portuguese)
Effective Date: January 01, 2020
Keywords: Americas, Brazil, Banking, Pillar 3, Basel III, Reporting, Circular 3930, Disclosures, BCBS, BCB
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
FSI Summarizes Scope of Application of Basel FrameworkRelated Articles
APRA Issues Interim Update to Policy Priorities for 2021 and Beyond
In a letter addressed to the industry, the Australian Prudential Regulation Authority (APRA) set out an updated schedule of policy priorities for the banking, insurance, and superannuation industries.
EC Adopts Solvency II and Resolution Rules Package for Insurers
The European Commission (EC) adopted a comprehensive review package of Solvency II rules in the European Union.
OCC Issues Booklets on Regulatory Reporting and Earnings
The Office of the Comptroller of the Currency (OCC) issued Versions 1.0 of the "Earnings" and "Regulatory Reporting" booklets of the Comptroller's Handbook.
ECB Sets Out Results of Economy-Wide Climate Stress Tests
The European Central Bank (ECB) published results of its economy-wide climate stress test, which aimed to assess the resilience of non-financial corporates and euro area banks to climate risks.
EBA Examines Implications of Increasing Use of Digital Platforms in EU
The European Banking Authority (EBA) published a report on the use of digital platforms in the banking and payments sector in European Union.
HKMA Issues Updates on Policy Measures Intended to Ease COVID Impact
The Hong Kong Monetary Authority (HKMA) published updates on the policy measures that were announced in context of the ongoing pandemic.
ISDA Responds to BCBS Proposal on Treatment of Cryptoasset Exposures
The International Swaps and Derivatives Association (ISDA), along with several other associations, submitted a joint response to the Basel Committee on Banking Supervision (BCBS) consultation on preliminary proposals for the prudential treatment of cryptoasset exposures.
BIS Quarterly Review Discusses Developments in Fintech and ESG Space
BIS published the September issue of the Quarterly Review, which contains special features that analyze the rapid rise in equity funding for financial technology firms, the effectiveness of policy measures in response to pandemic, and the evolution of international banking.
BCBS to Consult on Supervisory Practices for Climate Risks by Year-End
The Basel Committee for Banking Supervision (BCBS) met in September 2021 and reviewed climate-related financial risks, discussed impact of digitalization, and welcomed efforts by the International Financial Reporting Standards (IFRS) Foundation to develop a common set of sustainability reporting standards
OCC Identifies Operational Risk Deficiencies in MUFG Union Bank
The Office of the Comptroller of the Currency (OCC) issued a Cease and Desist Order against MUFG Union Bank for deficiencies in technology and operational risk governance.
