The cloud is emerging as a suitable option for risk computation given the many benefits such as cost savings, efficiency gains, and innovation.This paper highlights the need to embrace cloud-based risk computation for the banking and financial services industry, what it takes to get the cloud right and the way forward.

The Basel Committee on Banking Supervision main goal is to avoid financial crisis by setting up regulations such as the FRTB. But this kind of law always looks complex to understand and even more to implement.This is the case particulary with the curvature risk charge formula, which is an important part in the process of computing the value of the minimal capital requirement.
With an accurate interpretation of the regulation text law, it is possible to change the complex formula into one which is easier to implement with the right tools.