Pillar 3 disclosures in SAP Analytics Cloud: structuring the regulatory templates

Pillar 3 is the part of Basel that faces the market: standardized disclosures that let investors and analysts compare banks on capital, risk and liquidity. The templates are fixed, the figures must reconcile to your regulatory returns, and they recur every quarter. That combination makes Pillar 3 a strong fit for a structured SAP Analytics Cloud model.

Where Pillar 3 sits

Basel rests on three pillars: minimum capital requirements (Pillar 1), supervisory review (Pillar 2) and market discipline through disclosure (Pillar 3). Pillar 3 publishes, in prescribed templates, the capital, RWA, leverage and liquidity figures that Pillar 1 computes. The key constraint is consistency: a Pillar 3 number that disagrees with your Basel III ratios is a finding waiting to happen.

The standardized templates

Disclosure follows fixed templates — the key-metrics overview (KM1), the RWA overview (OV1), and the credit, market and counterparty-risk breakdowns. The cleanest SAC design is a Disclosure template dimension so each output maps to its regulatory form, sitting on top of the same underlying capital and RWA model rather than a separate data island.

Dimensions: reuse, do not duplicate

Model an Exposure class dimension (sovereign, institution, corporate, retail), an Approach dimension (standardised vs IRB), the entity and the time dimension. Because Pillar 3 draws on the same RWA and capital figures as your prudential reporting, building it on the shared model is what guarantees the disclosed numbers reconcile automatically.

Aggregations and consistency

RWA and capital amounts aggregate as SUM; ratios are calculated measures computed at the displayed level. Driving Pillar 3 from the same measures as Pillar 1 removes the classic reconciliation gap between what you report to the supervisor and what you publish to the market.

Versions and the quarterly cycle

Disclosures are periodic and comparative — this quarter against last, with prior-year reference. A Version dimension and a clean time frame let you produce the comparative views the templates expect without rebuilding them each quarter.

Build on a maintained base

Pillar 3 templates evolve with the EBA and CRR. Start from the free banking regulatory template, and use our verified & maintained kits to keep the disclosure structure current — consistent with your BCBS 239 aggregation and IFRS 9 figures.