Training Objectives

The aim of this programme is to:

• Provide participants with a deep understanding of the prudential regulatory framework applicable to investment firms under IFR, IFD, and Law 165(I)/2021
• Enable correct classification of investment firms and interpretation of their corresponding capital, liquidity, and reporting obligations
• Equip professionals with the tools to implement and maintain the Internal Capital Adequacy and Risk Assessment (ICARA) process, including stress testing, forward-looking capital planning, and wind-down strategies
• Clarify governance expectations, internal control systems, and remuneration policies in line with CySEC and EBA guidelines
• Explain the regulatory forms and reporting procedures required under CySEC supervision, including common supervisory priorities and findings
• Introduce emerging regulatory topics, including DORA, MiCA, ESG risk management, and ICT governance, to ensure proactive compliance and operational resilience

Training Outline

Legal & Regulatory Framework

• Introduction to IFR/IFD and Law 165(I)/2021
• EBA Roadmap and implementation phases (2020–2025)
• Regulatory interaction with CRD, BRRD, MiFID/MiFIR, AIFMD, UCITS, MiCA, DORA etc.

Classification of Investment Firms

• Class 1A, 1B, 2, and 3 firms: thresholds and requirements
• Decision tree scenarios and classification practices
• Implications for regulatory obligations

Prudential Requirements and Capital Framework

• Initial capital requirements
• K-Factors methodology
• Fixed Overheads Requirement (FOR)
• Own Funds composition and deduction items

Governance and Internal Control Requirements

• Role of the Board and Senior Management in ICARA
• Responsibilities of Risk, Compliance, and Finance functions
• Remuneration governance and material risk takers
• Internal policies and control frameworks

Risk Management and Risk Appetite Framework

• Quantitative & qualitative indicators
• Risk capacity vs. tolerance
• Conduct, market, operational, AML, and cyber risks

ICARA – Internal Capital Adequacy & Risk Assessment

• Legal foundations under Chapter 2 of Law 165(I)/2021
• Key principles: harm identification, wind-down, stress testing
• ICARA building blocks: planning, governance, risk assessment, projections
• Capital and Liquidity allocation and Stress Testing Scenarios
• Pillar 2 Probability vs Impact model
• Wind-down planning
• Form 165-03: regulatory submission and expectations

Emerging Regulatory Topics

• Digital Operational Resilience Act (DORA) implementation
• MiCA (Markets in Crypto-Assets Regulation): notifications and classification
• ESG disclosures, diversity benchmarking, gender pay gap reporting
• Outsourcing, ICT risk management, and group capital test under Article 8 IFR
• EBA’s & ESMA’s proposed changes to the IFR

Who Should Attend

This programme is designed for professionals within the financial services sector and will be particularly beneficial to:

• Risk Managers
• Compliance Officers
• Internal Auditors
• CFOs
• Directors
• Other risk takers of Investment Firms

Training Style 

The programme is designed to deliver the scope, principles, and methodologies of ICARA, and most of the seminar’s time will be invested in analysing the different methodologies and risk management tools that investment firms should take into consideration during the preparation and implementation of the ICARA report.

CPD Recognition

This programme may be approved for up to 5 CPD units in Financial Regulation and Risk. Eligibility criteria and CPD Units are verified directly by your association, regulator or other bodies which you hold membership.

This training course may be approved as an external activity under the  new  ACAMS  recertification  category  ”non-ACAMS credits” for up to 5 CPD units. Eligibility criteria and CPD Units are verified directly by the Association of Anti-Money Laundering Specialists (ACAMS). To read more about the non-ACAMS credits policies and eligibility criteria please click here.

In-house Training

For groups within the same organisation, this course may be customized to meet any specific needs and delivered in-house.