Table of Contents
Introduction..............................................................................................................................1
Performance of stress testing during the crisis.........................................................................2
Use of stress testing and integration in risk governance.................................................2
Stress testing methodologies..........................................................................................3
Scenario selection...........................................................................................................4
Stress testing of specific risks and products...................................................................5
Changes in stress testing practices since the outbreak of the crisis...............................6
Principles for sound stress testing practices and supervision..................................................8
Principles for banks..................................................................................................................8
Use of stress testing and integration in risk governance.................................................8
Stress testing methodology and scenario selection......................................................12
Specific areas of focus..................................................................................................15
Principles for supervisors........................................................................................................17