10 December 2007
Macquarie Group Limited (Macquarie) advises that Macquarie Bank Limited (MBL) has today received accreditation from the Australian Prudential Regulation Authority (APRA) to adopt the advanced approaches under Basel II for credit risk and operational risk.
Macquarie’s Chief Financial Officer Greg Ward said: “This is the culmination of several years' work and we are delighted with the outcome.”
“The Basel II project is an important plank in Macquarie’s strategy of continual improvement of our risk management and measurement systems. Meeting the requirements for the advanced approaches under Basel II has been a challenging and substantial task. Basel II accreditation from APRA provides a validation of the strength of Macquarie's risk processes and controls,” Mr Ward said.
MBL applied for Foundation IRB rather than Advanced IRB as it is more suitable for our business at this stage. Macquarie does not expect any material reduction in MBL’s regulatory capital requirement as a result of the implementation of Basel II.
Contacts:
Paula Hannaford
Corporate Communications
Macquarie Group
Tel: (61 2) 8232 4102
Mobile: (+61 4) 1394 0180
Email: paula.hannaford@macquarie.com
Richard Nelson
Investor Relations
Macquarie Group
Tel: (612) 8232 5008
Email: richard.nelson@macquarie.com