Basel III and Solvency II Maturity · Financial regulation and banking risk management
Your Basel III and Solvency II prudential requirements, measured by theme and turned into a costed action plan.
10 themes, a 5-level scale. And the action that moves each level to the next.
The framework’s 10 themes, already written from L1 to L5. One company, one business unit, or 300 at once.
Basel III and Solvency II Maturity · Financial regulation and banking risk management
10 themes, 5-level scale.
Nordhavn Industries
53 / 100
They measure their maturity with Datamensio
An example
This could be your situation.
Take one company as an example: three sites, three spreadsheets, no shared answer.
Nobody can consolidate.
Nordhavn Industries, 2,400 people in Hamburg, Lyon and Porto. A client asks where the group stands. Each site answers in its own spreadsheet, with its own scales.
Three weeks, a single base.
One Basel III (CRR 3 / CRD 6) and Solvency II (Directive 2009/138/EC, 2025 revision) assessment launched across all three sites at once, from the managers’ interview notes. The framework was already written, its 10 themes and levels L1 to L5 too.
Two costs avoided before being committed.
A score of 53 out of 100, with the gap concentrated on three themes. The AI companion spotted that two actions duplicated those of another audit. The committee report took one sentence to request.
What it saved them
- 3sites measured on the same base, instead of three questionnaires to reconcile
- 2duplicate actions caught before the spend
- 1committee report, with no manual rework
These figures are an example. They could be yours.
The standard imposes processes. Datamensio says where you stand.
01
The framework is already written
Themes, questions and levels L1 to L5, all written. You do not start from an empty spreadsheet.
02
The score lands the same day
Online, by self-assessment link or in interview. Theme by theme, comparable over time.
03
The gap becomes a costed plan
Every step up carries its action. The AI prioritises on expected effect, not on the order of the standard.
04
Progress can be demonstrated
Campaign after campaign, against your target and against your own past. That is what your board asks for.
The maturity scale
One level, the next, and the action that links the two.
This mechanism, a level, a level above it, and the action linking the two, is what turns a finding into a trajectory.
Are ICAAP or ORSA results used in management decisions?
- N1
No formalised exercise. Capital needs are assessed only at regulatory deadlines, with no dedicated internal production.
- N2
A report is produced each year and submitted to the supervisor. It is not discussed beyond its formal sign off.
- N3
The report is presented to the board, its conclusions are discussed and give rise to identified actions with an owner.
- N4
Conclusions feed into the budget, the funding plan and risk limits. Decisions taken are tracked and reviewed.
- N5
The exercise is called on outside the annual cycle, for major projects and market shocks, with documented lessons learned on scenario quality.
Action to move from L2 to L3
Put the presentation of ICAAP or ORSA conclusions on the agenda of the board’s risk committee, with an action list naming an owner and a deadline for each point of concern.
« With Datamensio, we meet our objectives far more efficiently. The ERDF inspection services and our supervising ministry particularly appreciated an approach that gives them reliable data. »
Director, CCI 94CCI Île-de-France
« We believe this is the most suitable solution to scale our transformation project and measure impact according to our needs. »
Maja SucekChief Operating Officer, Interreg Danube
Rarely on its own
Frameworks combine. Put several together to cover your business, or have the AI write yours.
Take your first measurementon BASEL III.
What this framework covers
Basel III and Solvency II pursue the same objective across two distinct sectors: ensuring that an institution holds sufficient resources to absorb its losses. Basel III, transposed in Europe through the CRR regulation and the CRD directive, imposes solvency ratios, a leverage ratio, the LCR and the NSFR, together with an internal capital adequacy assessment process, the ICAAP, and its liquidity counterpart, the ILAAP. Solvency II is built around a quantitative pillar (SCR, MCR, technical provisions, economic balance sheet), a qualitative pillar (governance, key functions, ORSA) and a disclosure pillar (QRT, RSR, SFCR).
In practice, the difficulty is not knowing the texts but knowing where things actually stand. Calculations are produced, returns filed on time, and yet questions remain open. Is the internal control framework for prudential data documented end to end, or does it rest on the memory of two people? Do the ICAAP and ORSA genuinely inform board decisions, or are they deliverables produced for the supervisor? Do stress scenarios reflect the entity’s risk profile, or are they rolled over from one exercise to the next?
The context has moved. The CRR 3 / CRD 6 banking package finalises the Basel accords and introduces the output floor on internal models, with phased application starting in 2025. On the insurance side, the Solvency II revision adopted in 2025 adjusts proportionality for smaller entities and strengthens the sustainability and long-term risk dimension. One common confusion is worth clearing up: these frameworks are not certified. They are checked by a supervisor, the ECB, the ACPR or EIOPA depending on the case, through the SREP or governance reviews.
The maturity assessment answers a different question from prudential supervision. Supervision asks: is the requirement met, yes or no, and by what date. The assessment asks: at what level of control does the practice sit, and what specific action moves it to the next level. A compliant ratio can coexist with a fragile process; that is exactly what the maturity scale makes visible, theme by theme and entity by entity.
Within Datamensio, the framework is ready to use. You can also adapt it: the AI adjusts the themes, questions and levels according to the CMMI method, or builds a variant from your own policies, ORSA reports or regulatory reporting procedures.
Reference standard: Basel III (CRR 3 / CRD 6) and Solvency II (Directive 2009/138/EC, 2025 revision)
The themes assessed
Governance and risk appetite
Role of the board and specialised committees, risk appetite statement, translation into operational limits, key functions arrangements and the four eyes principle.
Own funds and solvency requirements
Composition and quality of own funds, CET1 and total ratios, regulatory buffers, SCR and MCR calculation, articulation with the economic balance sheet.
Leverage ratio and output floor
Exposure measurement, leverage ratio monitoring, use of internal models, treatment of the capital floor introduced by CRR 3.
Liquidity and funding
Production and monitoring of the LCR and NSFR, liquid asset buffer, contingency funding plan, ILAAP process and stress scenarios.
Technical provisions and liability valuation
Best estimate and risk margin, actuarial assumptions and their validation, yield curve, quality control of actuarial data.
ICAAP, ORSA and stress tests
Scope of scenarios, severity and relevance of shocks, multi-year capital projection, actual use of conclusions in the strategic and budget plan.
Operational and credit risk management
Risk mapping, incident and loss data collection, rating and provisioning arrangements, counterparty and concentration risk.
Prudential data quality
Traceability from source system to submitted return, control rules, management of manual adjustments, audit trail and data framework documentation.
Regulatory reporting and disclosure
COREP, FINREP and QRT filings, RSR and SFCR, adherence to timetables, consistency across returns, pillar 3 disclosures.
Internal control and continuous improvement
Second and third line control plans, follow up on supervisor and audit recommendations, comparison of results over time.
A short version of the framework is available for the online self-assessment.
Frequently asked questions
Can Basel III or Solvency II be certified?
No. These are prudential requirements checked by a supervisor, the ECB, the ACPR or EIOPA depending on the entity, notably through the SREP. Datamensio measures the maturity of your arrangements and prepares you for these reviews, it does not issue any certificate.
What is the difference between this assessment and prudential supervision?
Supervision checks compliance with a requirement at a given date and concludes with a finding. The assessment places each practice on a progressive scale and points to the action that moves it up a level. A compliant ratio can rest on a fragile process; that is what the scale makes visible.
Can the two frameworks be handled separately?
Yes. A banking entity can activate only the Basel III themes, an insurer only those of Solvency II. For a bancassurance group, the cross-framework roadmap consolidates both assessments and groups common actions, particularly on governance and data quality.
How long does the assessment take?
The short version can be completed in a single working session. The full version, run collaboratively with risk, actuarial, ALM and reporting teams, typically takes one to two weeks, with most of the time spent gathering input from teams.
Can the framework be adapted to our profile?
Yes. You can amend the questions, levels and themes, or start from your own policies and reports: the AI then builds a variant aligned with your internal vocabulary and the proportionality regime that applies to you.
How can several subsidiaries be compared?
Each entity completes the same framework. Scores are compared by theme across business units and against previous exercises. The AI groups recurring gaps into a consolidated roadmap, avoiding ten separate local workstreams on the same issue.
Do respondents need actuarial or quantitative expertise?
Questions focus on processes, governance and traceability, not calculation formulas. Some require input from an actuary or an ALM manager: the collaborative mode allows these questions to be assigned to the right person.
Where is the data hosted?
In France, with OVH, backed up at Scaleway. No transfer outside the European Union. The AI models used can be selected, including European solutions.