Objectives On completion of this tutorial, you will be able to:

• Identify the key issues associated with the measurement of operational risk
• Calculate regulatory capital for operational risk
• Recognize the importance of operational risk reporting and the different types of report that banks produce
• List the key operational risk disclosures under Pillar 3

Tutorial Overview While some risks lend themselves naturally to quantitative measurement, it is not always clear whether operational risk exposures can be captured successfully using numerical methods. This tutorial looks at the various measures used to quantify operational risk, the challenges and issues associated with the measurement of operational risk, and the reporting of such measures. Prerequisite Knowledge Operational Risk - An Introduction Tutorial Level: Intermediate Tutorial Duration: 60 minutes