Company: BCS
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0000312069-25-000114
Chunk: 413

Company: BARCLAYS PLC
Filing Date: 2025-02-13
Form: 20-F
Chunk 413
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 at a minimum twice annually but more frequently if deemed appropriate, and also to align with the Group’s medium term planning exercise. Each model used in the estimation of ECL, including key inputs, are governed by a series of internal controls, which include the validation of completeness and accuracy of data in golden source systems, documented data transformations and documented lineage of data transfers between systems. iii) The Group Impairment Committee, formed of members from both Finance and Risk and attended by both the Group Finance Director and the Group CRO, is responsible for overseeing impairment policy and practice across the Group and will approve impairment results. Reported results and key messages are communicated to the BAC, which has an oversight role and provides challenge of key assumptions, including the basis of the scenarios adopted. Impairment results are then factored into management decision making, including but not limited to, business planning, risk appetite setting and portfolio management. Market risk m anagement

(audited)

The risk of loss arising from potential

adverse changes in the value of the

Group’s assets and liabilities from

fluctuation in market variables including,

but not limited to, interest rates, foreign

exchange, equity prices, commodity

prices, credit spreads, implied volatilities

and asset correlations.

Overview

Market risk arises primarily as a result of

client facilitation in wholesale markets,

involving market-making activities, risk

management solutions and execution of

syndications. Upon execution of a trade

with a client, the Group will look to hedge

against the risk of the trade moving in an

adverse direction. Mismatches between

client transactions and hedges result in

market risk due to changes in asset prices,

volatility or correlations.

Organisation, roles and responsibilities

Market risk in the businesses resides

primarily in Investment Bank and Treasury.

These businesses have the mandate to

assume market risk. The front office and

Treasury trading desks are responsible for

managing market risk on a day-to-day

basis, where they are required to

understand and adhere to all limits

applicable to their businesses. The Market

Risk team supports the trading desks with

the day-to-day limit management of

market risk exposures through

governance processes which are outlined

in supporting market risk policies and

standards.

Market risk oversight and challenge is

provided by business committees and

Group committees, including the Market

Risk Committee (MRC).

The objectives of market risk management

are to:

• identify,