FRTB professional handbook
Explanations, equations and worked examples to follow at your own pace.
Market risk · Professional learning packageBefore you buy
Follow market risk from sensitivities to capital.
FRTB SA & IMA — a structured guide, offline practice and revision resources for market risk, capital and model validation.
- Work through SA risk weighting, aggregation and correlation scenarios.
- Connect expected shortfall, modellability and model performance tests.
- Practise explaining calculation choices and implementation controls.
Starting knowledge: Comfort with sensitivities, basic statistics and trading-book instruments.
New to these ideas? Start with the free lessons →
Check your starting knowledge · 3 quick prompts
Check the ideas you recognise. This is a study guide to help you choose where to start.
Inside your download
A complete study routine, in one place.
100 question-and-answer flashcards
Focused revision in digital and downloadable formats.
Offline interactive FRTB lab
Explore the calculations locally in your browser after downloading.
Interview bank and worked cases
Practise the calculations and compare your reasoning with the answers.
Implementation toolkit and data dictionary
Reference formulas, control checklists, data fields and a 30-day study plan.
Source references
A reference register or source map to support further study.
Read, practise and try the lab.
Sample edition: These excerpts are from the v0.9 review edition, 19 September 2026. They show the teaching approach; the current paid package may have expanded content and a different layout. Check the contents above and the current Topmate listing before buying.
Worked case: two-factor bucket
A bucket has weighted sensitivities of +100 and −80. Its medium correlation is 0.60. Calculate the medium, high and low scenario bucket charges. Which scenario gives the largest charge?
Show the worked solution
Use K = √(100² + (−80)² + 2ρ × 100 × (−80)). At ρ = 0.60, K = 82.46. The high correlation is 0.75, giving 66.33. The low correlation is max(2 × 0.60 − 1, 0.75 × 0.60) = 0.45, giving 95.92. The low-correlation scenario drives this example. Opposite-signed sensitivities receive less hedge recognition as correlation falls.
Five flashcards from the pack
Choose a question to reveal its answer.
What problem does FRTB try to solve?
FRTB reforms trading-book market-risk capital so that capital is more risk-sensitive, captures tail and liquidity risk more explicitly, strengthens the trading-book boundary, and constrains internal-model use through desk-level approval and model-performance tests.
What are the two principal FRTB approaches for market risk capital?
The Standardised Approach (SA) and the Internal Models Approach (IMA). Use of IMA requires supervisory approval; SA remains the fallback and benchmark.
At a high level, what are the three components of FRTB SA?
Sensitivities-Based Method (SBM) + Default Risk Capital requirement (DRC) + Residual Risk Add-On (RRAO).
What are the three SBM risk measures?
Delta, vega and curvature.
How many SBM risk classes are there?
Seven: GIRR; CSR non-securitisations; CSR securitisations non-CTP; CSR securitisations CTP; equity; commodity; and FX.
Try one calculator from the offline lab
A single-calculator adaptation of the review-edition lab. The full lab is included in the paid package.
Choose how you study
What does a package add?
| Your study material | Free on Quant$ense | In a paid package |
|---|---|---|
| Explore the concepts | Interactive online lessons, visualisations and explanations | A structured downloadable guide with worked examples |
| Practise calculations | Change inputs in the online applets | Offline lab plus applied exercises and answers |
| Revise and recall | Lesson questions and definitions | 100 flashcards for focused revision |
| Prepare an explanation | Build intuition through the free learning path | Interview practice and career or implementation resources |
| Access | Open the website in your browser | Download your chosen subject package through Topmate |
All online lessons and visualisations remain free. Each package is an optional purchase for one subject. See its contents before buying.
Learning informed by banking practice.
We are a group of bankers working in these fields. We created Quant$ense to help learners connect financial concepts, calculations and practical questions.
More about Quant$ense →A few practical details.
How do I receive the package?
Complete your purchase on Topmate and use its delivery instructions to access the downloadable files. Save and unzip the package on your device before opening the materials. If you need help accessing a purchase, use the contact page.
What do I need to use the files?
A PDF reader and a modern browser on a laptop or desktop are recommended. The downloaded interactive labs run in your browser offline. You can open the free website lessons before purchasing to try the learning approach.
Is the price a subscription?
Each subject package is a one-time digital purchase, listed at ₹999. Review the final amount, any applicable fees or taxes, delivery details and purchase terms on Topmate before paying.
Can I start with the free website?
Yes. All online modules remain free. Read the starting-knowledge guidance for your chosen package, explore a lesson and use the previews to decide whether the downloadable materials suit your goal.
Do packages include a qualification or guaranteed job outcome?
They are self-study educational resources. Interview questions provide practice and do not guarantee employment, a qualification or regulatory approval.
Ready to work through FRTB SA & IMA?
One subject. A structured set of materials to study at your own pace.
₹999one-time · FRTB SA & IMABuy on Topmate