Focus on Investment Firm Regulation & Directive

The team of Financial Risk Management Advisors of KPMG in Cyprus, possessing many years of expertise in Capital Adequacy within the financial sector, will provide an introduction to the main provisions of the new prudential framework for Investment Firms, which became applicable on 26 June 2021.

During the webinar, participants will learn how the capital adequacy rules and methodologies, as well as other prudential requirements of the European Investment Firm Regulation 2019/2033 on the prudential requirements of investment firms (“IFR”) and the European Investment Firm Directive 2019/2034 on the prudential supervision of investment firms (“IFD”), are different compared to the previous framework, in order to be able to estimate the extent to which CY and EU investment firms can expect to be affected. 

By the end of the webinar, participants will be able to:

• Recognise the key differences of the new prudential framework compared to the previous (CRR/CRD IV) framework
• Identify the changes that are expected to affect their organisation the most
• Explain the main changes of the new framework to other members of their organisation
• Apply the aforementioned changes to their own capital adequacy calculations
• Measure the impact of the anticipated changes on their own organisation
• Encourage the management and staff of their organisation towards the timely adaptation of their systems and processes, in order to achieve early adoption of the previously mentioned changes
• Support the key functions within their organisation to better cope with the changes.

Officers serving in a number of functions within regulated investment firms including directors, general managers, CEOs, CFOs, heads of risk management functions and risk officers, accounting and finance officers, heads of compliance functions and compliance officers, heads of internal audit functions and internal audit officers, officers involved in regulatory reporting, officers involved in proprietary trading functions and information systems officers.

*The number of participants is restricted to 28. 

Join the webinar (8:30 a.m. - 9:00 a.m.) *

Sessions (9:00 a.m. – 13:00 p.m. including two 15-min breaks between sessions)

1. Introduction (30 min)

• Background
• Dates and scope of application
• Initial capital

2. Capital Adequacy Ratio & own funds (30 min)

• Minimum thresholds for CAD Ratio (Capital Adequacy Ratio)
• Own funds calculation

3. Minimum capital requirements (30 min)

• Fixed overheads requirement
• Permanent minimum capital requirement
• K‐Factor Requirement

4. Breaking down the K‐Factor requirement (3 hrs)

• Risk‐to‐Client (RtC) K‐factors
• Risk‐to‐Market (RtM) K‐factors
• Risk‐to‐Firm (RtF) K‐factors

5. Concentration risk (15 min)

• Limits
• Exposure value excess and K-CON (Concentration risk)
• Exclusions

6. Liquidity requirement (15 min)

• Liquid assets threshold
• Liquid assets definition

7. Important exemptions (30 min)

• Transitional provisions
• Group Capital test

8. Disclosure, reporting and risk management arrangements (1 hr & 30 min)

• Reporting obligations
• Disclosure requirements
• Risk management arrangements 
• Overview of IFR CoRep templates

*Note: Please join the meeting 30 minutes prior to the webinar’s start time (join at 8:30 a.m.), in order to make sure that you do not face any connection or other technical issues.

If you wish to register for the webinar, please complete the registration form.

Once your registration is submitted, you will receive an email stating the participation fee, including any discounts, if applicable. Kindly note that the payment should be settled at least two days prior to the webinar’s date for your registration to be confirmed.

The programme has been approved by the HRDA. Enterprises participating with their employees who satisfy HRDA’s criteria, are entitled to subsidy. Please note that there are limited seats available, therefore enrol in this webinar as soon as possible.

If you do not receive our confirmation e-mail regarding your registration, your participation cannot be guaranteed.

Cost

€270 + VAT. Net investment after subsidy from the HRDA of €119: €202,30 (including VAT) for all eligible participants*

*Last Date for 10% Early Bird Discount:  15/11/21

Discounts available

• For more than two (3+) participants from the same company a 10% discount is available on the total cost, before the VAT and HRDA subsidy. This discount only applies for participants who enrol in the same webinar, on the same day. This discount can only be combined with the early bird discount and the HRDA subsidy, when applicable.
• For individuals/legal entities who/which register in more than two (3+) webinars during the same semester (January-June & July-December), a 10% discount is available on the total cost, before the VAT and HRDA subsidy. This discount only applies for individuals/legal entities who/which enrol in more than two (3+) webinars during the same semester, on the same day. This discount can only be combined with the early bird discount and the HRDA subsidy, when applicable.
• There is a 10% discount for alumni members. This discount should be applied before the VAT and HRDA subsidy and can only be combined with the early bird discount and the HRDA subsidy, when applicable. For more information on our alumni scheme, click here.
• There is a 10% early bird discount on selected webinars for participants who enrol in a training course until a specific date which is stated above. This discount should be applied before the VAT and HRDA subsidy and can only be combined with the HRDA subsidy, when applicable.
• HRDA subsidy for all HRDA approved webinars. 

For any queries, please contact Irini Avraam on +357 22 207 460 or at academy@kpmg.com.cy.

CPD: This webinar may contribute to Continuing Professional Development requirements. Shortly after the webinar’s date, participants will receive electronically a certificate of attendance confirming the total number of training hours (7 CPD).

Hadjivarnava Artemis
Principal, Capital Adequacy Lead, Financial Risk Management, KPMG in Cyprus

Artemis is a Principal in the Financial Risk Management department of KPMG in Cyprus, with more than 12 years of experience in the financial services advisory field. She is heading the Capital Adequacy consulting team and has extensive experience in the implementation of various assurance and advisory engagements in relation to Capital Adequacy (IFR, Basel III & IV) calculations and Impact Studies, capital adequacy seminars, Consolidated Supervision, ICAAPs, Pillar 3 Disclosures, Operational Risk Management Frameworks, Client Assets, Internal Controls and overall regulatory compliance.

Furthermore, Artemis is supporting CySEC with the adjustment of the IFR CoRep templates. She has also had an active role in the development of guidelines for CySEC on consolidated supervision, in the transposition of the European Council’s CRD 2 and CRD 3 provisions into CySEC’s Directives DI144-2007-05 and DI144-2007-06 for the Capital Requirements of Investment Firms and for the Large Exposures of Cyprus Investment Firms, respectively. Additionally, Artemis provided guidelines for the proper handling and protection of client funds and financial instruments.

In 2015, she was certified by the HRDA as a “Trainer of Vocational Training”.

Iacovidou Elena
Manager, Financial Risk Management, KPMG in Cyprus

Elena is a Manager in the Financial Risk Management Department of KPMG in Cyprus. She is a holder of BSc Mathematics from the University of Bath and an MSc in Financial Risk Management from the Henley Business School of the University of Reading.

Elena has extensive experience in the areas of CRR/CRD IV and knowledge of the CRR II/CRD V, IFR/IFD packages as well as MiFID I/II, PRIIPs and other regulatory compliance frameworks. She is involved in the execution of multiple advisory projects with experience spanning across the investment and banking sectors.

She has participated in a number of Basel III and CRR/CRDIV projects for financial institutions in Cyprus, assisting them in the quantification of risks and the calculation of minimum capital requirements. She has been involved in the implementation of CRR calculation engines in the banking sector, performed reviews and audits of Pillar 1 calculations and Pillar 3 disclosures for various investment firms in Cyprus.

Elena has been delivering seminars to financial entities on topics such as capital adequacy (Basel and CRR packages), MiFID II, PRIIPs and more.