Florian Neitzert presents his research at the McKinsey/FIRM Innovation Platform

In November 2016, Florian Neitzert, scholar of the SME Graduate School, together with Professor Michael Torben Menk of University of Siegen presented their findings on the topic “Design of Capital Floors in the light of the Basel Trinity” in relation to the current developments of the Basel Accords at the McKinsey/FIRM Innovation Platform in Frankfurt am Main.

The research team headed by junior professor Dr. Michael Torben Menk, a professor of business administration and associate member of the Risk Governance Research Group in Siegen, was invited to the 25th Risk Management Innovation Platform organized by the McKinsey & Company and the Frankfurt Institute for Risk Management and Regulation (FIRM) at the stately Villa Merton (Union International Club) by Dr. Gerhard Schröck, a partner of McKinsey & Company.

Primary aim of the renowned, biannual conference is to present, develop and possibly implement innovative concepts for the current issues pertaining to bank and risk management. The interdisciplinary discussion bridges the collaboration gap between the leading decision makers of the financial industry and academia. The presentation on the “Design of Capital floors in the light of the Basel Trinity“ by the researchers focused on the revision of the minimum equity capital, which is set to be adopted in 2018. An implementation of the framework “Basel IV” in general, and therefore the disproportionately strong burden of regional institutes, would lead to a massive increase in regulatory capital requirements and hence, SME Graduate scholar Neitzert added that this would be the worst case scenario for the bank-based corporate financing of small and medium sized companies.

With their contribution, the two originally Hessian researchers joined a range of highly distinguished speakers including Dirk Jäger (Managing Director of the Federal Association of German Banks) and Dr. Tom Wilson (CRO Allianz SE), the keynote speaker who described the changing tasks of a Chief Risk Officer in the past decades and deliberated on whether this position would be more strongly impacted by regulatory influences in the future. The dinner at the end of the session presented further networking opportunities. Finally, the two researchers later thanked Dr. Gerhard Schröck, representative for all those who contributed to the event, for his invitation as well as the excellent organization and await the next Innovation Platform with interest.

Contact:

Florian Neitzert B.Sc.
Universität Siegen SME Graduate School – Fast-Track PhD
E-Mail: florian.neitzert@uni-siegen.de