2013 the working group validated the draft approach in a field test
Field test results
In October 2013 the working group validated the draft approach in a field test with a peer group of
five banks engaged in retail business. The five banks have very similar business models and risk
profile, which is a requirement for peer comparisons under the proposed approach.
The field test showed that the proposed SREP approach developed by the working group is in general suitable to
ensure a systematic and comprehensive SREP quantification. In most cases reviewed in the field test,
capital requirements were higher than what was reflected in the bank’s own ICAAP results. As the
new SREP approach is still in draft, there is currently no plan to impose capital add-ons for
institutions with capital shortfalls in the field test.
However, gaps and deficits identified may be
addressed as part of the ongoing supervision of institutions (via meetings etc.).