AICB-BKR Exam Information and Outline
Bank Risk Practices (BKR)
Syllabus Update Checked on: August 7, 2026
AICB-BKR Exam Syllabus & Study Guide
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The information below reflects the 2026 syllabus defined by
AICB.
Below are complete topics detail with latest syllabus and course outline, that will help you good knowledge about exam objectives and topics that you have to prepare. These contents are covered in questions and answers pool of exam.
AICB-BKR Bank Risk Practices (BKR)
1. An Overview of Risk Management in Banking
- Risk management principles
- Risk management framework
- Enterprise risk management (ERM)
- Strategic risk management
2. Regulation and Treatment of Risk
- Banking and the need for Regulation
- The purpose of banking supervision
- Types and sources of Malaysian banking regulations
- Introduction to risk-based capital framework
- Basel I: The 1988 Basel Capital Accord
- Basel II: The three pillars
- Basel III: The requirements and Basel III extended
- Accounting rules for banks
3. Key Components of Risk Management in Banking
- Overview of the risk management process
- Types of risks
- Communication and consultation
- Establishing context
- Risk assessment
- Risk treatment
- Risk monitoring, metrics, and reporting
4. Risk Models
- Mathematical and statistical concepts in risk measurement
- Models
5. Credit Risk Management
- Sources of Credit Risk
- Typology of Standalone Credit Risk
- Overview of Portfolio Credit Risk
- Fundamental analysis of credit risk
- Probability of default models
- Loss Given Default models
- Exposure at default
- Expected credit loss (ECL) – Regulatory and Accounting Principles
- Portfolio credit risk models
- Credit risk mitigation techniques
6. Operational Risk
- Prelude to operational risk
- Principles for the sound management of operational risk
- Operational risk measurement
- Internal operational risk loss data
- External operational risk loss data
- Business resilience and continuity (holistic focus) and disaster recovery plan (DRP)
- Boundary risk (market and credit)
- Conduct risk
- New products development (NPD) and business activities and outsourcing activities
- Risk control and self-assessment (RSCA)
- Risk and performance indicators
- Other tools in operational risk assessment
- Shariah compliance risk
7. Technology, Cyber, and Digital Risk
- Definition of IT, cyber or digital risk
- Current technology, cyber or digital threats
- Data security, privacy risk and cloud risk
- The regulations as prescribed under Risk Management in Technology (RMiT) by BNM
- Cryptocurrency / Blockchain
- Fintech risk management
- Artificial intelligence / machine learning / robotics process automation (RPA)
- API banking
- Digital Banking
8. Traded / Market Risk
- Definition of market risk
- Types of market risk
- Market risk measurement
- Bank trading: Roles and strategies
- Pre-Value-At-Risk (VAR) Market Risk Measurement Tools
- Value-At-Risk (VAR)
- VAR calculation methodologies
- Expected shortfall
- Credit Value Adjustment (CVA) and Debit Valuation Adjustment (DVA)
- Settlement and pre-settlement risk
- Netting close out and International Swaps and Derivatives Association (ISDA) / Credit Support Annex (CSA)
9. Non-traded Market Risk / Liquidity Risk
- Definition of non-traded market risk / liquidity risk
- Overview of Asset and Liability Management (ALM)
- Interest rate risk management
- Elements of sound interest rate risk management practices
- Interest rate risk measurement tools
- Liquidity risk monitoring tools
- Liquidity stress testing / the Internal Liquidity Adequacy Assessment Process (ILAAP)
- Scenario analysis
- Contingency funding
- Using derivatives in Asset and Liability Management (ALM)
- LIBOR challenges
10. Capital Management
- Internal Capital Adequacy Assessment Process (ICAAP)
- Role of capital
- Types of capital
- Sound capital management and assessment
- Stress testing
- Risk Adjusted Return on Capital (RAROC) and capital allocation
11. Climate Risk Management
- Introduction of Climate Change
- Types and Nature of Climate Risk
- Climate-Related Risks and Transmission Channels
- Regulatory and Supervisory Expectations